Hyderabad: The Telangana Gig and Platform Workers Union (TGPWU) on Thursday, August 13, welcomed the Central government’s clarification on tipping but stated that voluntary tips cannot substitute fair fares.
The organisation, along with the Indian Federation of App-Based Transport Workers (IFAT), supported the government’s stance that tipping on app-based rides must remain voluntary and offered only after completion of the journey.
However, TGPWU’s founding president Shaik Salauddin said that such tips cannot be equal to fair and regulated fares for gig and platform or app-based workers.
“Customers have the right to voluntarily tip drivers for good service, and we welcome customer-friendly measures. But at the same time, drivers have the right to earn a fair and dignified income through the fare itself,” said IFAT’s co-founder and national general secretary.
Key demands
One of the key demands of the two unions is for the Central and State governments to urgently decide minimum pricing for cabs, auto-rickshaws and bike taxis, including minimum base fare, per-kilometre and per-minute rate for app-based travel services.
The TGPWU and IFAT appealed to the government to enforce a strict ban on the commercial use of private, non-commercial two-, three- and four-wheelers for app-based passenger transport. “Only vehicles legally authorised and registered for commercial transport should be permitted to operate,” the unions said.
In their last demand, both the union and the federation urged the government to ensure effective enforcement of welfare and transport regulations and take action against practices that result in the exploitation of Gig and Platform Workers by platforms like Ola, Uber, and Rapido.
‘Welcome customers’ rights, but protect workers’ rights too’
Citing the August 11 government order regarding tipping, TGPWU and IFAT said that aggregators should not use tipping prompts or mechanisms before completion of a ride in a manner that creates an impression that an additional payment could improve ride confirmation, driver acceptance, allocation, waiting time or service quality.
“Tips are voluntary. Fair fares are a right. Drivers should not be forced to depend on customers’ generosity to meet their livelihood needs,” said the TGPWU president.
He reiterated the key demand, saying the government must establish a transparent and sustainable fare structure covering base fare, per-kilometre and per-minute rates.
The Gig Workers’ Union and the Transport Workers Federation urged the State and Central governments to take immediate steps to implement the Motor Vehicle Aggregator Guidelines, 2025, regulate app-based transport services, protect passengers and ensure dignity, fair earnings and social security for Gig and Platform Workers.
“Welcome customers’ rights, but protect workers’ rights too. Fair fare must come first; tips can never replace fair wages,” said Salauddin.
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