MANILA, Philippines – Facing great financial losses, drivers of Grab who had been disabled from the ride-hailing service sought for “understanding and compassion” from the Land Transportation Franchising and Regulatory Board (LTFRB) and the Department of Transportation.
Grab deactivated some 8,000 drivers without a certificate of public convenience (CPC), which was a prerequisite of the LTFRB.
A press briefing held on Monday, June 10, where drivers enumerated the following processes which make securing the requirements to get a CPC difficult:
Drivers stated Transport Netwrork Vehicle Service (TNVS) operators can only be represented by either the spouse, parents, or descendants. They said this requirement affected many operators leading to dismissals and resulting in monetary losses.
“TNVS operators affected mostly are those who work abroad, doing part time for TNVS, or not based in Metro Manila,” their statement read.
Drivers sought the agencies to allow them to issue a special power of attorney to any person they want to represent them.
Bank conformity is a document that is secured from banks and allow the units to be used for public transportation.
“Different banks have their own processes and fees in securing this certificate,” the drivers stated.
Furthermore, they said that this requirement was only good for companies with a fleet of cars. In the case of TNVS, most only have one car or two.
“Many operators cannot comply, some banks will ask for thousands of pesos in fees, plus an increase of monthly amortization,” the drivers replied.
Instead of a bank conformity, they proposed getting a commercial insurance of their choice to still protect the interest of the banks.
The LTFRB increased the requirement, Proof of financial capability of about 233% to P50,000, from P15,000. Drivers stated this is hard for many small entrepreneurs.
“Many have no savings of P50,000, and it is only now that they are able to save…. We pray for the board to recompute the amount that is fair for small businesses,” the driver’s statement read.
Many TNVS operators supposedly gave up and had their cars surrendered to banks due to the problems cited.
Grab advised deactivated drivers to reapply, as 10,000 new TNVS slots will be opened.