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Govt to classify ride hailing drivers as micro business
The Indonesian Transport Workers Union (SPAI) said on Wednesday that it opposed the plan, stressing that it preferred that ride-hailing drivers be classified as employees
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Motorcycle deliverymen working for three different online companies, Gojek, Grab and Shopee, wait for the green light at a crossroads in Jakarta on Feb. 10, 2022. (AFP/Bay Ismoyo)
T
he government plans to include app-based ride-hailing drivers in the micro, small and medium enterprises (MSMEs) category, which would make them eligible for a series of incentives.
MSMEs Minister Maman Abdurrahman said that the ministry was seeking to propose an amendment to Law No. 20/2008 regulating MSMEs, which is currently under internal discussion and set to be deliberated in 2026.
The draft will include stipulations on the status of online ride-hailing drivers as micro business operators.
“If we treat online ride-hailing drivers as a micro business, then online drivers will also be eligible for the same incentive facilities provided for micro businesses,” Maman said on Tuesday, as quoted by detikFinance.
The incentive facilities in question include a fuel subsidy as the new scheme introduced by the government did not include drivers for app-based services as eligible recipients.
Energy and Mineral Resources Minister Bahlil Lahadalia said in November last year that the government would only provide subsidized fuel to vehicles with yellow license plates, the plates used for public transportation and trucks.
Read also: Planned fuel subsidy scheme faces backlash from ‘ojol’ drivers
