Uber has stopped charging commission from drivers in Delhi
What's the story
Uber has introduced a new feature in its driver app, called 'Driver Pass.' The option allows drivers to buy multi-day subscriptions for continued service on the platform. The first trial of this feature was conducted in Delhi NCR, where cab drivers were required to purchase a Driver Pass to continue using the Uber app for their services.
Subscription details
Pass options and pricing
The Uber app now offers drivers the option to purchase a pass for either 24 hours or 72 hours. The longer, 72-hour pass costs ₹341, including 18% GST. An Uber spokesperson said, "We've been running Uber Auto on a subscription model across India since last year and continue to test it across various product categories in different cities."
Commission waiver
No commission charged after pass purchase
Uber has also clarified that no commission is charged once a driver buys the pass. During the initial three-day trial, the company waived off the pass amount. "Commission may vary on each trip but will always be 0% at the end of the week," reads Uber's driver app. This new model comes after Ola's recent launch of a software-as-a-service (SaaS)-based zero-commission model for its cab drivers.
Model transition
Addressing drivers' concerns
The subscription-based model allows drivers to keep 100% of their ride fare, unlike the previous commission-based model where drivers were charged a commission on every ride. This change addresses long-standing complaints from drivers about losing a big part of their earnings due to commissions. While Rapido has been using this model since 2023, Uber and Ola adopted it later.