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COVID19: Economic relief sought for Cab & Food Delivery Riders

Hyderabad: Shaik Salauddin National General Secretary Indian Federation of App-based Transport workers (IFAT)in a letter to Union Finance Minister Smt. Nirmala Sitharaman said that the outbreak of COVID 19 pandemic across India has affected many service sectors. It has had a devastatingly adverse effect on the livelihood of app-based transport and food delivery workers, numbering over 30 lakhs. The pandemic has resulted in reduced incomes and unsustainable employment for drivers. Data collected from 5000+ drivers, all members of our affiliates in 14 cities, reveals that over the last two weeks drivers per day incomes have fallen to between Rs. 300 – 350 after companies’ commission and other deductions. This after they have stayed logged in for 12-14 hours each day. But the one most serious crisis facing the drivers is the payment of bank EMIs which average around Rs. 13,000-18,000 per month on leased vehicles. The lockdown now, which covers almost all metro cities for the next 10 days or more will create extreme distress to the daily earning of drivers and miseries in their families.

Indian Federation of App-based Transport Workers (IFAT) while appreciating Prime Minister’s call to employers and companies to take care of their workers and employees in these distressing times, would like to point out that companies like Ola, Uber, IT, Tours and travels, Swiggy, Zomato, and others have not responded to any calls for economic and social support to the drivers who they do not even consider as their employees and hence feel free of any legal or social responsibilities towards them. In this pandemic situation, they have not even come forward to reduce their commissions, so that the drivers could get a more decent share of income to take care of their families. We would request the Government of India to direct the companies to provide economic and social support packages to their drivers/delivery riders in these pandemic times.

He urged the central government to intervene and provide some financial relief to the drivers/ delivery riders of the app-based sector

1. Public and private sector banks to consider a 3 months waiver/deferment of EMIs on vehicle loans taken by app-based drivers/riders.
2. Ola, Uber and other app-based companies to be directed to reduce their commissions to 5% till such time that the pandemic is controlled and business normalcy returns.
3. Food delivery riders to be paid state minimum wages until the pandemic situation is controlled.