RIDE-HAILING platform Angkas said it’s going to reduce its commission rate to 18% from 20% to assist rider-partners address rising fuel costs.
“We’ll temporarily lower our commission. After discussing with our team, we are going to lower our commission for all our bikers by at the least to 18% while still maintaining the tiered commission scheme as added incentives,” Angkas Chief Executive Officer George I. Royeca told a committee hearing on the House of Representatives on Wednesday.
He said Angkas currently imposes a 20% commission rate on all biker-partners, adding that the corporate will retain its tiered model, where the commission decreases to fifteen% after eight rides and should be fully removed after 25 rides.
Angkas made the move following calls to lower commission rates as fuel prices rise amid the continued conflict within the Middle East.
“The tiered commission scheme was done in consultation with our bikers, like all things resources are limited. We did this scheme to prioritize people who depend upon our platform,” Mr. Royeca said.
Angkas operates under the pilot study of the Department of Transportation, implemented through the Land Transportation Franchising and Regulatory Board.
The proposed Motorcycles-for-Hire Act, which seeks to amend Republic Act No. 4136, goals to legalize motorcycle ride-hailing services by classifying them as public utility vehicles.
Meanwhile, inDrive said it maintains a ten% commission rate within the Philippines and can reduce this by 1% during peak hours to support its driver-partners.
Other ride-hailing platforms have also committed to review the opportunity of lowering commission rates amid rising fuel costs. — Ashley Erika O. Jose