Ride-hailing giant Grab has sparked anger among its private hire drivers recently after pegging the Covid-19 income support package with drivers' performances, also known as the Special Relief Fund.

The Special Relief Fund consists of the government's weekly payout of S$70 and also what Grab calls a Weekly Cover payout, which can go up to S$85 for each driver.

Why are the Grab drivers unhappy?

Following Grab's announcement on Feb. 20, a number of Grab drivers expressed their displeasure that the Weekly Cover income support package wound up being a replacement to two existing incentive schemes, namely the Super Steady Streak and Missions schemes.

That means in order to qualify for the Weekly Cover payout, the drivers have to meet certain targets such as maintaining at least 90 per cent of acceptance rate, a less than 10 per cent cancellation rate as well as keeping up with a score of 4.5 stars rating.

According to comments they posted on various Facebook groups and pages, however, Grab drivers said they can earn much higher payouts from the two previous incentive schemes than what the Weekly Cover payout can offer.

On top of that, they also said the income support package should not be a substitute for the usual incentive schemes since it was meant to be a supplement to their earnings.

In view of a poor economic outlook islandwide, Grab's switch from its incentive schemes to this new support fund appears to have caused more anxiety among its drivers, with several expressing concerns about being able to make ends meet.

Several drivers have taken to Facebook to lament about their plight to the National Private Hire Vehicles Association (NPHVA).

National Private Hire Vehicles Association meets with Grab

In a statement shared in response to the concerns shared by the Grab drivers, NPHVA confirmed it received feedback from the drivers, noting "they are unhappy over allegedly unfair terms and conditions set by Grab, in order to access the financial support".

Union representatives initiated a meeting with Grab, which included representatives from the Land Transport Authority (LTA) to investigate this matter to ensure that private hire drivers are fairly treated, the statement added.

It also empathised with the drivers' concerns, noting that the drivers have already taken a hit in earnings during the ongoing Covid-19 outbreak.

"We expressed concerns from the ground, as drivers felt that the Special Relief Fund and the incentive schemes should be treated separately. Our private hire drivers have already started to feel the brunt of the COVID-19 outbreak, with many of them experiencing a drop in earnings. This announcement from Grab has caused drivers to be concerned with how they might be in a worse-off position due to the changes."

The NPHVA added that it is committed to see how to support the drivers better. It also urged operators to look into ways to help drivers cope with business costs and suggested running short-term promotions for commuters in order to boost ridership.

Following the discussion between NPHVA, Grab and LTA, Grab agreed to extend its Super Steady Streak scheme till May 2020. There will be follow-up discussions to review the scheme as well.

Grab: Primary intent is to provide better earnings security for drivers

In response to Mothership's queries, a Grab spokesperson confirmed receiving feedback from its drivers, saying its intent was to "provide better earnings security for [their] driver partners", especially after observing a decline in ridership.

"Grab cares, and we appreciate that our driver-partners, as well as union leaders, have come forth to provide us with the opportunity to have an open dialogue to support them during such times."

Overall, Grab said it has observed a 20 per cent drop in commuter demand as a result of Covid-19 outbreak and the company expects a further decline in ridership in the coming months.

Grab said that the Weekly Cover payout is designed to "prop up earnings" for the drivers who qualify for the Special Relief Fund, and to enable them to bring home fixed amounts of earnings during these volatile and challenging times.

In its statement, it also clarified that the government payout of S$10/vehicle will be disbursed to the drivers as long as they meet the LTA's eligibility criteria.

"There are no additional criteria from Grab," the spokesperson added.

The company said it will supplement the drivers' daily fare earnings with Weekly Cover, and eligible drivers can get up to S$10 daily and up to an additional S$15 per week.

It also confirmed that the Super Steady Streak programme will continue alongside the Weekly Cover payout.

Here's its statement:

"We’ve heard our driver-partner community’s feedback on our 'Weekly Cover' scheme rolled out yesterday. Many of them have expressed concerns over how the programme was structured.

Our primary intent was to provide better earnings security for our driver partners, especially when we have seen a decline in rides per driver-partner, mostly due to decreased commuter demand and drop in tourist arrivals. Overall, we observed a 20 per cent drop in demand and expect it to decline in the coming months. The Weekly Cover is designed to prop up earnings for our broad base of driver-partners who qualify for the Special Relief Fund, and to enable them to bring home fixed amounts of earnings during these volatile and challenging times.

Earlier today, we met up with a few groups of our active driver-partners as well as the NPHVA, and its members. We understand their concerns and have taken into account their feedback.

Under the Special Relief Fund, from 2 Mar to 30 May, we want to assure our driver-partners that the Government’s $10/vehicle contribution will be disbursed to them, as long as they meet LTA’s eligibility criteria. There is no additional criteria from Grab.

In addition, Grab will supplement their daily fare earnings with “Weekly Cover”. Eligible driver-partners will get:

• Up to $10 per day
• An additional of up to $15 per week for eligible driver-partners

We have also heard their feedback about the Super Steady Programme. Grab will continue the Super Steady programme for driver-partners who currently enjoy this benefit.

Our driver-partners can also be assured that they can retain their Emerald Circle tier during this period (up to 30 May 2020).

...

Grab cares, and we appreciate that our driver-partners as well as union leaders have come forth to provide us with the opportunity to have an open dialogue to support them during such times. Together, we can overcome the challenges brought about by COVID-19."

Top collage via Grab's and NPHVA's Facebook pages