Grab ‘distorts’ transpo laws, leaves drivers disadvantaged — solon

PBA party-list Representative Jericho Nograles on Sunday accused Grab Philippines of "distorting" transportation laws and orders in justifying its "abusive" fare rates and leaving its driver-partners in a disadvantageous position.

In a statement, Nograles said Grab and its lawyers have been citing Land Transportation, Franchising and Regulatory Board's (LTFRB) Department Order 2015-011 issued in May 2015 allowing transport network companies to set their own fares subject to the board's oversight.

But he said the company completely ignored more recent orders and issuances from the LTFRB.

Nograles cited, for one, LTFRB's December 27, 2016 order, which specifically enumerated the allowed fare charges that Grab has supposedly ignored.

"Obviously, a 2016 LTFRB Order supersedes the 2015 Order and not the other way around but Grab continues to pretend that the later LTFRB ruling does not exist and keeps on harping about an old and outdated order to justify their illegal fare rates," he said.

In its December 2016 order, LTFRB directed Grab to adopt an itemized fare structure: P40 of base fare; P10 to P14 per kilometer charge depending on vehicle use; and a "price surge" of up to twice the fare for the distance traveled.

But Nograles said that in that order, there was no P2 per minute charge and the minimum fare was P40, not P80 or P125, which Grab has supposedly been charging.

"Grab violated a lawful order of the LTFRB and cites an order which is already passé and outdated. It's either Grab lawyers are just too ignorant of our existing laws or are deliberately distorting them to justify their excessive greed for profit," Nograles said.

“They are probably trying to cast doubt on their criminal actions para makalusot sa criminal case na pwedeng isampa sa kanilang mga Officers pati mga Malaysians. And when they are being confronted for cheating the public, they use their driver-partners as their excuse for their abusive business practices when in fact, even the drivers are victims of Grab," he added.

If Grab really is concerned about their driver-partners, Nograles said, it could reduce its commission to 10 percent instead of 20 to 25 percent. In this rate, Grab could still earn P10 million per day, he said.

He added that the driver-partners are made to believe that Grab's financial problems are caused the exposition of the company's supposed malpractices, when it is Grab's "excessive greed for profit" that causes so.

"Just like all public conveyances, Grab is mandated  by law to abide by the standards set by the government through the LTFRB and not Grab dictating their own  standards and fare rates to the government. Even more revolting is they use our poor drivers as their excuse for violating lawful orders," Nograles said.

"Sumunod lang kasi sila sa batas para hindi na malagay sa alanganin ang mga driver,” he added.

GMA News Online has reached out to Grab Philippines for comment. — Erwin Colcol/BM, GMA News