NTUC working with transport groups to ensure fuel price spikes not passed on to drivers, riders

SINGAPORE – The labour movement in Singapore has been working with ride-hailing platform operators and taxi companies to ensure that rising fuel costs are not passed on to drivers and riders here as the war with Iran, which has disrupted oil supplies from the Middle East, persists into its fourth week.

“Our platform work associations have worked hard to ensure that platform operators and taxi companies see themselves as stakeholders in this,” NTUC assistant secretary-general Yeo Wan Ling said in a Facebook post on March 24.

“Rising costs should not simply be passed on to our drivers and riders.”

Ms Yeo, who is an MP for Punggol GRC, added that the livelihoods of taxi drivers, private-hire vehicle (PHV) drivers and delivery riders must remain sustainable, and that operators have a role to play in supporting this.

Ms Yeo’s post came after NTUC-affiliated platform work associations on March 24 issued a joint statement in response to rising fuel prices.

These associations are the National Delivery Champions Association (NDCA), the National Private Hire Vehicles Association (NPHVA) and the National Taxi Association (NTA).

“When operating costs like fuel costs rise, and fares do not keep pace, platform workers are the ones left to make up the difference: they end up making hard choices to work longer hours, rush to take more orders and accept lower take-home earnings,” the statement said.

It noted that NTA has been engaging every major operator to help taxi drivers cope with rising fuel costs.

For now, ComfortDelGro is keeping pump prices about 30 per cent below market rate, and has introduced measures such as a temporary driver fee of 50 cents to 80 cents per booking, a one-cent distance-time rate increase, and a fuel credit programme of up to $25 per driver.

Other taxi operators such as Trans-Cab, Strides Premier, Prime and GrabCab are introducing various support schemes including higher metered taxi fares, fuel vouchers and rental rebates.

For PHV drivers, NPHVA has been pressing operators for support. Now, Grab is providing $40 fuel vouchers for Sapphire- and Diamond-tier drivers, while Lumens/Shell is offering $50 fuel credits for selected hirers through Shell.

In addition, Trans-Cab/Smile is providing a $3-per-day rental rebate. Gojek is offering $15 to $30 in fuel subsidies, with an additional $10 to $20 of Esso fuel vouchers for active driver-partners. Tada is providing $40 cash payouts to selected drivers based on recent activity.

NDCA has been engaging operators to secure relief for delivery workers.

GoGoX will now provide a $1 fuel support fee per completed order, with the full amount going directly to driver-partners. Grab is offering $20 fuel vouchers for Sapphire-tier and above motorbike riders, while UParcel has reduced its commission rate from 20 per cent to 16 per cent for its most active drivers.

Said Ms Yeo: “Keeping fuel and pump prices in check is exactly the kind of real and lasting relief that makes a real difference to workers on the ground.”

She added that NTUC will continue to call on the Government to work with platform and taxi operators to mitigate rising operating costs and ensure that targeted support reaches those who need it most.

Since Feb 28, when the US and Israel first launched attacks on Iran, fuel prices have spiked in Singapore, with 95-octane petrol now costing $3.47 per litre at Caltex, Shell, Esso and Sinopec as at March 24. SPC charges $3.46 per litre, while Cnergy, which absorbs some of the costs, charges the lowest at $2.48 per litre.

Diesel prices have also risen, with Esso raising its price by 20 cents per litre to $3.93 on March 24, the highest in the market, matching Shell’s increase earlier the same day.