Ride-hailing firm welcomes 'compensatory adjustment' in pick-up fares

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Philstar.com

December 18, 2025 | 9:00pm

MANILA, Philippines — A ride-hailing company welcomed what it called a “swift action” by transport authorities in addressing the concerns of Transport Network Vehicle Service (TNVS) drivers amid the holiday season traffic.

Grab Philippines commended the Land Transportation Franchising and Regulatory Board (LTFRB) and the Department of Transportation (DOTr) for the implementation of a fixed pick-up fare system, which was introduced as a "compensatory adjustment" to balance the temporary reduction in surge pricing during the peak holiday rush.

“We appreciate that the LTFRB listened to these concerns and acted on them through the implementation of a fixed pick-up fare system,” Grab said in a statement. 

The company noted that the system helps to "balance the temporary reduction in surge pricing while recognizing the real costs borne by drivers in getting to their passengers," calling it an important step toward "fair and equitable compensation."

Grab pointed out that it had initially raised the issue of uncompensated travel time and fuel costs incurred by drivers, especially before passenger pick-up and amidst worsening holiday traffic. The company emphasized that this was done to ensure the "realities faced by our driver-partners were fully understood and addressed."

The LTFRB's decision to implement the "compensatory adjustment" in TNVS pick-up fares will be in effect from December 20 to January 4. This move comes in response to an appeal from the TNVS Community Philippines (TCP).

The TCP, represented by spokesperson Lisza Redulla, had taken a strong stance against the planned reduction of the surge cap during the holiday season, given the expected increase in traffic congestion and longer travel times for commuters. 

The group confirmed its continuous dialogue with regulators and TNCs to promote driver welfare, actively coordinating with the LTFRB to maintain the implementation of the surge during consultations held in December.

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