If you’re living in Delhi or the NCR and struggling to book an Ola or Uber today, you’re not alone.
Over 15 auto and taxi unions have joined forces to protest against these companies, announcing a two-day strike on August 22 and 23.
This strike, organised by the auto and taxi driver unions, may cause significant transportation issues for those who typically rely on these third-party ride-hailing services.
This isn’t the first time unions have protested against third-party apps like Ola and Uber, which are notorious for charging excessive commissions from drivers.
Drivers have repeatedly protested against the unfair practices of these companies.
For example, in February 2023, drivers for Ola, Uber, and other services went on a strike in Guwahati, disrupting daily commute for many.
Similarly, in October 2018, drivers for Uber, Ola, Swiggy, and Zomato in Pune went on strike to draw attention to their grievances, though with limited success.
Kishan Verma, president of the Delhi Auto Taxi Transport Congress Union, says the protest is driven by high commissions and allegations of unethical activities by private Ola and Uber bike taxi drivers, including involvement in alcohol, drug, and smuggling trades.
“For several years, we’ve been writing to governments and departments about companies like Ola and Uber, but no one listens. These companies present their side, and the government presents its side, but it’s all just a game of donations, with the government also involved. We demand an end to this game,” Verma told IANS.
The union is calling for a ban on app-based cab services and the creation of a government-backed alternative.
India Today spoke to several Ola, Uber, and Rapido drivers, and they claim that both Ola and Uber charge extremely high commissions, excluding car maintenance and fuel costs.
“For a Rs 200 ride, I only get Rs 110 or Rs 100,” says Shankar Das*, an Ola, Uber, and Rapido auto driver from Delhi. Shankar, who has been driving his auto for almost 20 years, moved to online platforms four years ago but has faced numerous issues with these companies.
He also mentions that there have been times when passengers refuse to pay, and the companies don’t reimburse the drivers. “The companies tell me it’s my fault for not fighting with the passenger to get the money,” he says.
Rajesh Agarwal*, another auto driver from Noida, Delhi NCR, says, “Even though these companies claim they only charge a 10 per cent commission, the actual commission is much higher—almost 40 per cent of what we earn from every ride.”
“We also have to pay for petrol and CNG, so there’s not much left after the company takes its commission,” Rajesh adds. Apart from this, many cab drivers have to pay EMIs on their cab loans.
Another Delhi cab driver, Satyajeet Gupta*, agrees. He claims the commission is abnormally high for cab taxis. He gives an example: for every Rs 500 ride, the company takes around Rs 210-250, which is 45-50 per cent of the total fare.
In December 2023, Rapido launched its ‘Rapido cabs’ service to compete with Ola and Uber. The service, which started in Delhi-NCR, Hyderabad, and Bengaluru with around 1,20,000 cabs, aims to expand to 35 cities by September 2024.
Instead of charging a commission on every ride, Rapido introduced a subscription-based model. In February 2024, this model was extended to include auto rides, and it seems like it is not causing so much trouble for the drivers.
The concept is simple, Satyajeet explains; he ‘recharges’ his Rapido account for Rs 800 (prices may vary by city), and he can earn up to Rs 10,000 from this recharge via his rides.
However, if his earnings exceed Rs 10,000 by even Re 1, his ID gets blocked until he recharges again. Other drivers agree that the ‘charge’ is relatively low compared to Ola and Uber.
Whether it’s Ola, Uber, or Rapido, unions argue that private vehicles (this applies to bikes) pose a serious issue that needs to be addressed. Time and again, safety concerns have also been raised, particularly for women using these bike taxis, where riders often use their private vehicles for the service.
“Private Ola and Uber taxis are involved in smuggling, and there’s also trade in alcohol and drugs,” says Kishan.
Rajesh concurs, adding, “There’s no safety and security with these personal vehicles. If there’s an accident, the company won’t take responsibility—not even for the passengers.”
Source: India Today