Advocacy group urges audit of ride‑hailing firms over subsidy issues

AN ADVOCACY GROUP on Monday accused some ride-hailing companies of skirting government rules by using unauthorized drivers, raising concerns over disruptions to public subsidy programs meant to cushion workers from rising fuel costs.

In a statement, Digital Pinoys said some transport network companies deployed drivers beyond limits set by the Land Transportation Franchising and Regulatory Board (LTFRB), blaming the practice for irregularities in the distribution of government aid. It did not name the companies.

The group criticized what it described as systematic “overboarding” and the use of “shadow fleets,” alleging that at least one company exceeded its authorized driver allocation by as much as tenfold.

“The drivers and riders did not misrepresent themselves,” Digital Pinoys said. “They showed up at subsidy payout sites because they believed they were legitimately part of the system.”

The group said the practices came to light after thousands of unregistered drivers tried to claim subsidies, causing confusion at payout centers and straining government resources.

“In effect, a government program intended to assist vulnerable sectors was disrupted — not by its beneficiaries — but by platform‑level manipulation,” it said.

Digital Pinoys also flagged what it called aggressive recruitment during aid distribution, alleging that some companies used payout sites to poach riders from rival platforms.

Social Welfare Secretary Rexlon T. Gatchalian earlier acknowledged irregularities in the cash relief assistance program, which provides a one‑time P5,000 grant to ride-hailing drivers affected by higher fuel prices linked to the Middle East war.

In a Facebook post, he urged ride-hailing platforms not to turn payout centers into driver and rider recruitment venues.

He accused some firms of activating drivers at government payout sites, calling the practice inappropriate and disruptive.

Digital Pinoys urged the LTFRB and the Department of Transportation to audit drivers onboarded under temporary arrangements, freeze noncompliant firms and consider sanctions that could include revoking accreditation.

As of March 30, more than 256,000 drivers in Metro Manila had received the P5,000 cash aid, totaling about P1.28 billion, according to the Department of Social Welfare and Development.

The agency said more than 170,000 previously unlisted drivers are undergoing validation for inclusion in special payouts after Holy Week, with the program set to expand outside Metro Manila. — E.M.P. Sinaking