NLC Challenges Uber and Bolt to Justify Their 20-25% Commission Rates, Insists Drivers are Workers

The Nigerian Labour Congress (NLC) has indeed taken a militant stand against the popular ride-hailing companies, namely Uber and Bolt, compelling them to justify their 20-25% commission rates they charge drivers on every trip. The complaints emanating from concerns raised by drivers regarding these high commissions continue.

According to the NLC chairperson for Lagos, Comrade Agnes Sessi, during a recent briefing with the press at which the issue was raised, these companies actually set commissions that are unfair and leave drivers with struggles. Drivers pay for everything, according to her – the vehicles, fueling, maintaining, and repairing, including issues with law enforcement. The app companies only connect them to riders, taking a huge cut for every trip without providing cars for them, fuel, or even any meaningful driver support.

The NLC hinged its arguments on the demands for clarifications from Uber and Bolt as to why they deemed it worthy to appropriate between 20% and 25% of every fare as commission. The chairperson went ahead to touch on the arguments held that the companies fail to demonstrate any real benefits that accrue to the drivers for charging commissions. According to the NLC, Uber and Bolt do not give health and safety cover, equipment, quality training or welfare provisions. “You are milking them dry. Some drive all day and can only take home a small amount. There is no form of health protection or safety net. You are exposing them to risks with no compensation or support. This is modern-day slavery, and we say enough is enough”.

NLC Challenges Uber and Bolt to Justify Their Commission Rates

Another key NLC demand is for Uber, Bolt, and similar companies to recognize drivers as actual workers and not independent contractors. Sessi added that it is wrong for the drivers to spend their whole day working, sometimes up to 12 hours a day conveying customers-much time, and told they aren’t workers enough to deserve rights and protection. This denial by companies stands condemned in the face of the crucial role drivers play in their profitability.

On the issue of commissions set by NLC, drivers are the real backbone of these firms. Commissions raised by these companies come down to huge profits, and then the drivers release heavily on their pay from it to satisfy household needs after having earned so little to begin with.

The NLC raises another issue – safety. Many drivers according to Sessi have been robbed, attacked, or murdered while working, and the application companies have done nothing to vet their riders from being tracked when those things happen and to offer compensations for affected families. Unfortunately, she related that the effects of losing the lives of drivers ended upon their working for these platforms, since their families were not supported at all from their demise. Victims were said to have insurance at every trip yet according to some families, they have hardly got a penny or even substantial help.

The NLC’s call to action is not merely directed at Uber and Bolt, but also at lawmakers. They are calling for urgent legislation regulating the activity of app-based transport services, protecting the welfare of drivers, and enacting proper safety standards. This follows the public petitions by driver unions and hearings at the Lagos State House of Assembly where lawmakers demanded a comprehensive review of contracts, earnings, and practices at the ride-hailing sector.

Drivers have also organized strikes in recent days to protest the high commissions, arguing that with the rising cost of living, especially higher prices of fuel, they can no longer survive under the current conditions with the commissions being charged against their earnings while there are increasingly high operational costs. Others will be ready to demand significant reductions in commissions as well as improved conditions of work and safety.

The NLC challenges Uber and Bolt to justify their 20-25% commission rates on the principle that the drivers are really what support these businesses going. The companies rake in a lot of commissions in profits while the drivers-the main breadwinners in their households-have to cut down on household living as their incomes dwindle after paying for fuel, repairs, and whatnot.

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