LTFRB orders Grab, Uber to deactivate drivers registered after June 30
MANILA, Philippines – Drivers who registered with Grab and Uber after June 30, 2017, should be deactivated, the Land Transportation Franchising and Regulatory Board (LTFRB) ordered on Wednesday, July 26.
This order came after both transport network companies filed motions for reconsideration (MRs) to delay the implementation of the LTFRB's July 11, 2017, order, which instructed both TNCs to purge drivers without adequate documents.
LTFRB officials and representatives of Uber and Grab were still in a meeting as of posting late Wednesday night.
"The Board acknowledges receipt of the payment of fine in the amount of Five Million Pesos (P5,000,000) from each Respondent as contained in the Board's Consolidated Order dated 11 July 2017 has been fully complied with," the July 26 order read.
"[The] subsequent filing by the Respondents of the [MRs] have the effect of staying the execution of the other directives contained in the 11 July 2017 Consolidated Order only for those Transport Network Vehicle Service (TNVS) existing in their systems as of 30 June 2017."
The LTFRB has issued 3 orders in relation to Grab and Uber operations:
- July 21, 2016 – Moratorium on processing new driver applications
- July 11, 2017 – Imposition of P5-million fine each, and removal of all drivers with expired or no permits
- July 26, 2017 – Deactivation of all who registered for Grab and Uber after June 30, 2017
The MRs filed by the companies will still halt the implementation of the July 11 order, but only for drivers registered as of June 30.
Grab stopped activating new drivers only on July 17, while Uber stopped on July 18.
The LTFRB reiterated to Grab and Uber its demand for the companies to provide a master list of all their drivers as of June 30, 2017.
LTFRB board member Aileen Lizada said they have only received Grab's. Uber communications head Cat Avelino said they will submit theirs on Thursday, July 27.
According to the LTFRB's latest estimate, Grab and Uber together have 42,000 drivers, but only 15,400 at most have adequate papers to operate.
Read the order here:
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