GrabTaxi Singapore launches $2.8M fund for driver welfare

GrabTaxi Singapore announced today the launch of its Provident Fund (GPF), a S$3.5 million (US$2.79 million) welfare fund set up for taxi drivers who are active and have maintained high service standards. The fund comes directly out of the investments that GrabTaxi received in the last 14 months, totaling US$340 million. It also confirms past claims made by the company’s Malaysia general manager Adelene Foo that the firm would earmark funds for driver welfare.

“Driver welfare has always been a key focus for us and we understand what our drivers truly need,” says Lim Kell Jay, general manager for GrabTaxi Singapore. “The GrabTaxi Provident Fund allows us to set aside enough money to support our drivers […] The fund covers medical costs, accident cover[age], and crisis support to give our drivers peace of mind and reaffirm our commitment to their well-being.”

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GrabTaxi will deposit S$300 (US$240) into the fund every month for each driver that fulfills the service and usage criteria. This amounts to a total of S$3,600 (US$2,879) per driver that GrabTaxi sets aside every year for their use. Drivers just need to provide the relevant receipts and documents to GrabTaxi to make the claim except in the case of crisis support, when no documentation is required.

Launched in October 2013 in Singapore, GrabTaxi is one of the largest third-party booking apps in Singapore. The mobile app offers taxi drivers an efficient method to get passengers and reduce empty cruising, which enables taxi drivers to increase their income. With over 60,000 drivers across the region, GrabTaxi says it plans to expand its driver network with the goal of becoming the largest consolidated taxi fleet in Singapore this year. There are currently six GrabTaxi bookings per second throughout the region, according to the firm. GrabTaxi claims more than 620,000 people use the app at least once a month in Southeast Asia.

“This is just the start for us as we continue to grow our network in Singapore,” Kell Jay says. “We’re fully aware that our drivers work hard and long hours, so this fund will provide a great opportunity for us to say a big thank you for their efforts.”