In a dramatic move that has stirred unrest among drivers, the National Private Hire Vehicles Association (NPHVA) is pressing Grab to postpone its upcoming revamp of the driver incentive scheme. The association expresses deep concern for driver earnings and income stability ahead of the planned changes set to roll out soon.

Timing of the Controversy

This urgent request was made on Monday, just a week before Grab plans to implement the alterations to its incentive structure, which is designed to reward consistent drivers. Unsurprisingly, drivers have voiced their apprehensions about the potential dip in their earnings.

What’s Changing?

Currently, drivers completing between 300 and 499 rides a month can earn lucrative bonuses including a S$30 cash incentive and an 8% share of their monthly net earnings. However, under the revised scheme launching on July 1, payouts for this group are set to decrease significantly, leading to fears of financial instability.

In Grab's new structure, which will be referred to as the Grab Monthly Bonus, drivers in this ride range will experience cuts in both percentage payouts and cash bonuses. Level 1 will see no cash bonus, Level 2 will drop to S$30, and Level 3 will now offer S$50, compared to a maximum of S$100 under the current system.

The Streak Zones Dilemma

To sweeten the deal, Grab is introducing a new feature called Streak Zones. This requires drivers to pre-book two-hour slots to earn an additional 5% cashback on fares during those times. However, many drivers are skeptical about the availability of these slots and are concerned that they may not be able to leverage this new feature effectively.

The Community Speaks Out

NPHVA adviser Yeo Wan Ling echoed the organization’s plea on social media, lamenting that these changes are likely to impact the earnings of many average drivers. The uncertainty surrounding the new system raises serious questions about how drivers will strategize their income, complicating their financial planning.

Grab Responds

In response to these concerns, a Grab spokesperson noted that extensive consultations were conducted with the NPHVA while developing these changes. According to Grab, the new system aims to support part-time drivers without alienating full-timers who are integral to their model.

Grab emphasized that the revised Streak Zones were co-developed with input from driver-partners and aimed to improve both flexibility and earnings clarity. With the introduction of a 5% rebate per trip and faster payout times, the company argues that these changes will ultimately benefit drivers.

Conclusion: A Call for Consultation

The NPHVA continues to advocate for meaningful discussions between drivers and Grab, urging more comprehensive consultations before these important changes take effect. As tensions rise and uncertainties loom, the fate of many drivers hangs in the balance while they await further clarity on how their livelihoods will be affected.