AUATON urges drivers to dump inDrive over low pricing and indignity

Ejike Kanife
inDrive
inDrive

The Amalgamated Union of App-based Transporters of Nigeria (AUATON) has called on drivers to stop operating on the inDrive platform due to what it describes as ridiculous fares. This was disclosed in a statement by the Chairman of the Lagos State Council of the union, Comrade Jaiyesimi Azeez.

In the statement titled HOW INDRIVE LOW-FARE PRICING IS DESTROYING THE DIGNITY OF PROFESSIONAL DRIVERS, the chairman pointed out that the problem is inDrive’s fare negotiation model, which he described as unsustainable and a threat to drivers.

Read also: inDrive clarifies car age limit confusion, pegs it at 2002 and later

He noted that for years, the model has encouraged riders to bargain down the value of a professional driver’s service. Thus, instead of pricing rides based on the true cost of operation, riders are invited to suggest what they are willing to pay, often at prices that do not reflect fuel costs, vehicle maintenance, depreciation, insurance, traffic, or the driver’s time.

The result, he says, is a race to the bottom.

This model has gradually changed passengers’ expectations. Many riders now believe they should decide the value of a driver’s labour, and this mentality has spread across the e-hailing industry,” Comrade Azeez said.

e-Hailing drivers condemn Lagos tranport ministry's vehicle inspection plan
Comrade Jaiyesimi Azeez

The consequences are clear and quite severe. Drivers now work longer hours for less income. Vehicle maintenance is becoming unaffordable. Many drivers are trapped in debt. Professional standards are being undermined. And the entire industry is being pushed toward unsustainable pricing.

He, however, pointed out that inDrive can only succeed with this model if drivers allow them to. He further warned that drivers who accept inDrive’s unsustainable fares are contributing knowingly or unknowingly to weakening the profession for everyone else.

If we want to restore dignity to our profession we must stop supporting pricing models that drive fares lower and lower. I therefore appeal to every professional e-hailing driver to carefully consider where they invest their time and effort. Stand together. Support fair pricing. Reject fares that cannot sustain your business. And stop competing ourselves into poverty,” he said.

inDrive insists its pricing model gives freedom

inDrive, on its part, has always maintained that its bidding model gives freedom for drivers to earn what they want and for riders to pay what they want. The company also argues that, unlike most ride-hailing platforms, its system allows passengers and drivers to agree on the fare before a trip begins.

According to Country Representative Timothy Oladimeji, the platform has a minimum benchmark that is fair to the drivers. He explained that the company’s bargaining system discourages exploitation by putting guard rails on how low passengers can bargain and how high drivers can bargain as well. This, he said, has provided balance.

There is a fair minimum benchmark. Our bargaining system discourages exploitation by putting guard rails on how low passengers can bargain and how high drivers can bargain as well. Our social listening and research with drivers show that inDrive has been the balance point for both riders and passengers,” Oladimeji said.

Mobility, fairness and the true meaning of freedom on Independence Day
Timothy Oladimeji, inDrive Country Representative in Nigeria

He also noted that with the balance provided by the platform, drivers are able to make well-informed choices of rides, and passengers can get fair bargains. Thus, the platform’s bargaining model ensures that demand and supply interact naturally without interference from algorithms.

Achieving marketplace balance can be challenging. Our bargaining model ensures that demand and supply interact naturally, without algorithmic interference,” inDrive’s Nigeria lead said.


Technext Newsletter

Get the best of Africa’s daily tech to your inbox – first thing every morning.
Join the community now!

Register for Technext Coinference 2023, the Largest blockchain and DeFi Gathering in Africa.

Technext Newsletter

Get the best of Africa’s daily tech to your inbox – first thing every morning.
Join the community now!