After Indonesia, Gojek reduces service fee for driver-partners in Singapore

Indonesian super app Gojek has announced it will reduce service fees for all driver-partners in Singapore to 10% – from an earlier 20% – on all rides at least until the end of 2022.

This comes after the company announced a reduction in the fees of drivers for Gojek’s GoSend same-day delivery service, or GoKilat, in Indonesia from June 8 onward. The move sparked a three-day strike, with the firm’s courier-drivers refusing to take orders in protest against Gojek’s decision to lower their incentive scheme.

Previously, couriers received 10,000 Indonesian rupiah (US$0.70) for five completed deliveries. Under the new system, drivers will only receive 5,000 Indonesian rupiah (US$0.35) for the same amount of work.

In Singapore, Gojek has now implemented a flat payout fee of S$3 (US$2.26) for pickups of over 3km. The company also said in a statement that it will introduce new daily peak hour targets by giving drivers additional base points, which it says will boost the earnings of drivers by up to S$100 (US$75.34).

Earlier, driver-partners were given additional base points – the minimum number of points upon completing a trip – only on weekends. The new peak hour payments will ensure that additional base points are available throughout the week.

In the new scheme, drivers will receive S$5 (US$3.77) for 30 base points collected and get S$100 (US$75.35) for 120 base points.

These measures will come into effect starting June 21.

Photo credit: Gojek

Photo credit: Gojek

“Drivers are the bedrock of our business, and improving life for them will therefore spur our growth and help make Gojek a stronger business that can benefit the people of Singapore for the long term,” said Lien Choong Luen, general manager of Gojek Singapore.

Luen added that the ongoing impact of the pandemic is a “consistent worry” for driver-partners as they try to sustain their earnings amid the uncertainty.