Grab to charge Hitch drivers 10% fee from Jun 1

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SINGAPORE: Drivers on Grab’s carpooling service, GrabHitch, will have to pay a 10 per cent “platform fee” from Friday (Jun 1). 

In an email to drivers on the platform on Tuesday, Grab said: “We are now ready for our next wave of development, one that has to be sustainable at its core. 

“Your contribution helps us to fund our operating expenses and invest in various initiatives and product enhancements with a sole objective – to channel value back to you in greater fold.”

This value, according to an FAQ on Grab’s website, will come in the form of better matches, reducing last minute cancellations and no-shows from riders, among others. 

The fee will be deducted from Grab’s “driver wallet”, its payment system for drivers, one to two working days after completed carpooling rides, Grab said. 

Incentives and bonuses will not be subject to the fee, the company also explained on its website. 

Drivers who have negative balances in their driver wallets will be given limited access to booking requests, and will have to bring their balance back to a positive value by completing rides in order to regain full access, it said. 

Another change is that GrabHitch drivers will receive an online statement every Thursday, reflecting their activity and earnings from Monday to Sunday the week before, Grab said. 

Grab e-statement

(Image: Grab’s website)

Launched in November 2015, GrabHitch is a “non-commercial social carpooling service” that matches private drivers with others travelling along the same route. Unlike GrabCar and GrabTaxi drivers, who pay up to 20 per cent in commission, GrabHitch drivers currently earn the full fare for rides. 

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