Coronavirus: Grab and Gojek offer drivers rental discounts

Grab drivers will receive a 30 per cent rental discount while Gojek will waive rentals by up to 60 per cent. PHOTOS: REUTERS, ST FILE

Private-hire drivers offering their services through the Grab and Gojek platforms will be getting partial rental waivers over the next four weeks.

In addition, Grab drivers will also get at least a 50 per cent discount on their commission fees.

The discounts follow the Government's announcement that elevated safe distancing measures - referred to as "circuit breaker" measures - will kick in from today and last till May 4.

Businesses offering non-essential services are required to temporarily close their offices as part of the measures, which are expected to further hit the demand for point-to-point services.

ComfortDelGro and SMRT have agreed to waive rental for all their taxi drivers for one month.

Grab, meanwhile, has said drivers who rent cars from its fleet will get a 30 per cent rental waiver of up to $20 a day during the "circuit breaker" time frame.

These drivers will also be offered an option to defer 20 per cent of their rental costs (of up to $14 a day) for the next six months.

Starting yesterday, drivers renting from Grab's fleet will not be required to pay any commission for earnings from their trips.

Those who drive on the Grab platform but do not rent their cars from Grab will get 50 per cent off the commission rate.

Grab drivers usually have to pay 20 per cent of the fare of a trip to the firm as commission. This reduction in commission fees will temporarily replace Grab's reward programme for drivers.

Meanwhile, ride-hailing firm Gojek said in a statement yesterday that its fleet partners will waive vehicle rentals by up to 60 per cent for the duration of the "circuit breaker" measures.

Transport Minister Khaw Boon Wan said in Parliament yesterday he is aware that drivers' incomes have plunged, even as the Government implements a series of support measures to help the sector. Mr Khaw said: "As one taxi driver put it starkly: 'There's no work. I cannot live like this.'"

Correction note: This article has been updated for clarity.

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A version of this article appeared in the print edition of The Straits Times on April 07, 2020, with the headline Coronavirus: Grab and Gojek offer drivers rental discounts. Subscribe