GOTO - Government drafts new rules for ojol driver protection

GOTO - Government drafts new rules for ojol driver protection Acting Minister of Manpower, Airlangga Hartarto, and Minister of Communication and Informatics, Budi Arie Setiadi, are working on new regulations to protect online motorcycle taxi (ojol) drivers. The government is re-evaluating drivers' status as app partners, aiming to harmonize the relationship between platforms and drivers, with Kominfo mediating between parties. This move follows recent protests demanding clearer revenue-sharing and better protections. The new rules will involve multiple ministries, including the Ministry of Transportation for passenger-related services. (Source : Bloombeg Technoz) Comment: New regulations on driver protections could increase GOTO's operational costs, impacting margins due to potential expenses for benefits like healthcare and insurance, as well as a possible increase in revenue-sharing with drivers. While it may improve driver loyalty, managing these costs will be key to maintaining profitability in a competitive market.