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Uber, Bolt drivers issue Monday strike notice over low earnings

Uber and Bolt taxi drivers

Uber and Bolt taxi drivers have announced a strike starting Monday.

Photo credit: Shutterstock

Taxi drivers using digital ride-hailing platforms Uber and Bolt have announced a strike starting next week, complaining about what they say are high commissions charged by the firms.

The Organization of Online Drivers says drivers will cease booking passengers through the two apps on Monday.

The drivers claimed Uber and Bolt have failed to implement the National Transport and Safety Authority (Transport Network Companies, Owners, Drivers and Passengers) Regulations, 2022 that cap the commissions charged by the firms at 18 per cent per trip.

Their chairman Justin Nyaga said online taxi drivers will instead book passengers using Little Cab, Hava Cabs and Yego Mobility.

“The Organization of Online Drivers would like to notify the public that beginning November 21, 2022, we shall not be providing online hailing services under the Uber and Bolt platforms,” they said.

Uber recently cut its commission charged on fares to 18 per cent from 25 per cent to comply with the regulations.

“A transport network agreement shall not include any terms or conditions designed to increase the commission payable by a transport network driver or transport network owner such that it exceeds 18 per cent of the total earnings per trip,” the regulations say.

Bolt and Little Cab charge 20 percent and 15 percent, respectively.

Mr Nyaga told the Nation on Thursday that while Uber has cut the commission, it has circumvented the regulations by increasing its booking fee from four per cent to 11 per cent per trip, virtually wiping out any gains the drivers hoped to get from the cut in commissions.

“We (drivers) are now paying a higher booking fee as Uber has increased the fee from four per cent to 11 per cent. This defeats the purpose of cutting the commission,” Mr Nyaga said.

“We will no longer be using Bolt and Uber from Monday.”

To enhance compliance with the new regulations, the companies get a one-year licence that is renewed after the NTSA ascertains they had complied.

Setting the commission charged to drivers at 18 per cent was heralded as a positive step in helping drivers earn more per trip as the online taxi business grows rapidly in Kenya.

Uber told the Nation it was aware of the planned drivers’ strike but said it was engaging them to resolve the dispute.

“We are aware of a group of e-hailing drivers that plan to protest on November 21, 2022. We have and will continue to engage drivers directly using our various engagement channels to work towards addressing the issues because we take them seriously,” Uber said.

“In the event of any changes on the app that concern drivers, we send out communications so that drivers understand the impact on their business and earnings.”

Uber in September rolled out its ride-hailing services in Eldoret, Kisumu, Naivasha and Nakuru, extending them to eight cities in East Africa.