“Instead, more drivers joined our platform”- inDrive clarifies impact of drivers’ boycott

Leading ride-hailing company in Nigeria, inDrive, has responded to a protest by e-hailing drivers in Lagos, insisting that it gained more drivers during the period. The company disclosed this in a statement to Technext about the latest boycott by drivers.

Recall that e-hailing drivers announced a boycott of the app from April 1. The drivers’ grievance with the company is its unwillingness to modify its pricing model to ensure fares are commensurate with the cost of operation.

According to them, the company only cares about its commission and has modelled its business to reflect that.

Responding, inDrive said that for transparency, it is essential to clarify these matters and ensure that accurate information is shared with the public. It also pointed out that drivers who operate on its platform are independent professionals, not members of unions.

Hence, it did not suffer any losses during the recent boycott.

“Our data does not reflect a decline in driver participation—on the contrary, we continue to see an increase in the number of drivers joining our platform. Recent claims suggesting otherwise do not align with our observations,” inDrive said.

The company also noted that it maintains the lowest service fee in Nigeria at just 9.99 per cent, allowing drivers to maximise their income compared to competing platforms. It added that it operates a transparent model that prioritises driver autonomy and fair pricing.

“Unlike traditional ride-hailing platforms with fixed fares, our bidding system allows both drivers and passengers to negotiate and agree on a mutually acceptable fare. This ensures that drivers retain complete control over their earnings and are never forced to accept fares that do not align with their expectations,” the company said.

inDrive clarifies impact of union protests

Recall that the Lagos Council of Nigeria’s e-hailing drivers union, the Amalgamated Union of App-based Transporters of Nigeria (AUATON), took up the call, pointing out that drivers are the backbone of the e-hailing business and must be treated with dignity and respect.

In a statement sent to Technext, PRO, Steven Iwindoye said drivers have reached a breaking point and have decided to inform the company.

He said the company’s recent changes to its fare pricing system, which allow riders to reduce the fares by half, are the final straw. He said drivers can no longer operate under a system that exploits and oppresses them and can no longer continue to provide premium services while being underpaid and overworked.

“The cost of fuel and maintenance is increasing every day, and yet, you continue to ignore our plight. As of today, we are shutting down InDrive until you make drastic changes to your system. We will no longer participate in a system that prioritizes profits over people. We will no longer be treated like slaves, forced to work long hours for minimal pay,” the statement reads.

The union then demanded a review of inDrive’s pricing system to ensure that drivers are fairly compensated. They also demanded an increase in fares to reflect the rising cost of fuel and maintenance and a better support system for drivers, including but not limited to timely responses to concerns and issues.

While recognising the right of unions to voice their concerns within the industry, the company, however, said the recent ‘supposed’ strike was not carried out by drivers earning on the platform as they are largely independent drivers not affiliated with any union. As such, no negative changes were witnessed on the platform, and it was pretty much business as usual.

“We keep maintaining the freedom for drivers to earn on their terms with the chance to accept, negotiate higher or skip a ride to ensure the driver earns in line with the present realities. Our drivers continue to accept ride requests as usual, and customer demand remains strong. While some media reports have suggested that a mass driver boycott is occurring, we are seeing a wave of new driver registrations on the platform, our driver response times remain stable, and riders continue to book trips,” the company said.

Similarly, the Country Representative for inDrive in Nigeria, Timothy Oladimeji, said the company stands by its transparent approach which gives both driver and rider the freedom to choose what works for them.

“inDrive remains committed to providing a fair and flexible ride-hailing service where drivers and passengers have control over pricing. We stand by our transparent approach, ensuring that drivers always have the freedom to choose the fares that work best for them. We welcome open discussions on industry developments and are happy to provide insights into our business model to any stakeholders interested in learning more,” he said.