On 14/8, Indonesian President Prabowo Subianto announced that a policy reducing ride-hailing app commissions from 20% to 8% (effective 1/7) had led to a significant increase in driver income, in many cases by two to three times. He stated that workers now retain 92% of their earnings, compared to the previous 80%.

Following President Prabowo Subianto's statement, German broadcaster DW conducted an information verification through a transaction simulation. Calculations showed that a 100,000 Indonesian Rupiah (IDR) fare (approximately 150,000 Vietnamese Dong) would yield 92,000 IDR (135,000 Vietnamese Dong) for the driver under the new structure. This is higher than the previous 80,000 IDR (117,000 Vietnamese Dong). The 12,000 IDR difference represents a 15% increase, far from the 100-200% announced, assuming fares and order volumes remain constant.

Analyzing 2025 income data from over 1,000 drivers across 62 districts in Indonesia, the Institute for Demographic and Prosperity Studies (IDEAS) estimated that drivers' net daily income increased by approximately 19,000 IDR (28,000 Vietnamese Dong) after the commission reduction to 8%.

Muhammad Anwar, a researcher at IDEAS, suggested that the actual increase could only reach a maximum of 31%, as income depends on the number of orders, fares, working hours, and operating costs. Collaborating with 16 driver unions in Indonesia, Anwar observed that total income had not improved. The reason is that companies have kept fares unchanged since 2022, despite four waves of inflation and rising fuel prices. The expert proposed a 10-12% fare adjustment to compensate drivers for costs, while also maintaining an affordable threshold for consumers.

A Grab driver navigates rush hour traffic in Jakarta, Indonesia. *Photo: REUTERS/Iqro Rinaldi*.

From 1/7, two applications, GoRide (part of Gojek) and GrabBike, simultaneously implemented an 8% commission in Indonesia. This replaced the previous structure, which included a 15% app rental fee and a 5% support fee. Representatives from Gojek and Grab stated that this move aims to implement a policy to enhance partner welfare. Passenger fares remained unchanged.

This action followed President Prabowo Subianto signing a decree in early May that limited commissions and added health and work accident insurance benefits for ride-hailing drivers.

Speaking on International Labor Day, Prabowo demanded that companies withdraw from Indonesia if they refused to comply with revenue-sharing laws. "If companies do not want to comply, then do not do business in Indonesia," he stated.

To ensure policy implementation, Sufmi Dasco Ahmad, Deputy Speaker of the House of Representatives, confirmed that the state asset fund Danantara had acquired stakes in numerous ride-hailing companies.

Minh Phuong (According to DW, Antara News, SCMP)