Putrajaya caps e-hailing firms’ take of drivers' fares at 20%


Mohd Farhan Darwis

Transport Minister Anthony Loke says he is not taking sides between e-hailing firms and drivers. – The Malaysian Insight file pic, July 12, 2019.

E-HAILING companies cannot take more than 20% in commission or other fees from the fares their drivers collect, Transport Minister Anthony Loke said today.

These companies also cannot take more than 10% from taxis that operate through e-hailing apps.

Loke said his ministry will identify operators that increase the percentage taken from their drivers for each ride, whether by commission or under some other name.

“There should be no increase of commission taken, as action will taken against operators. The Land Transport Agency (APAD) will monitor all e-hailing operators,” he told a press conference in Putrajaya today.

He said there were some operators that took only 20% in commission from their drivers, but then imposed other “fees” of 5%.

“They say commission taken is 20% but there is a fee of 5%. What is the difference, when it is the driver who has to pay,” the minister said.

“E-hailing operators, as holders of the Lesen Perniagaan Pengantaraan (LPP), need to abide by these regulations.

“Enforcement of these rules and licence conditions will all be conducted on operators. They can have their LPP revoked if they do not abide by these conditions.”

As of July 11, there are 31 e-hailing operators that have obtained the LPP from APAD.

Loke defended the cap on commissions, saying he was not taking sides with either drivers or e-hailing operators.

“We just want be fair and enforce the rules justly,” he said. – July 12, 2019.


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Comments


  • Why must government dictate how much operators should earn? Never heard of free enterprise?
    If operators want to earn 50% is up to them because it maybe to high that market do not accept and they will not able to operate.
    Its balancing the supply and demand. Let them decide.

    Posted 6 years ago by Adrian Tan · Reply

    • correct.

      Posted 6 years ago by . . · Reply

  • Govt should regulate the commision, dont allow market to dictate like housing market. Now its too late to regulate the housing prices. That is what happened when free enterprise dictate

    Posted 6 years ago by Zaini Nordin · Reply