Motorcycle taxi platform Move It has formally asked the Land Transportation Franchising and Regulatory Board (LTFRB) to reconsider a ruling that penalized it for onboarding riders beyond its government-authorized cap.
Reportedly, Move It was asked to pay P555.75 million in fines, as it allegedly on boarded riders beyond its allocation.
Move It said it had filed the motion ‘after thoroughly reviewing the decision and its implications for the industry’ and is ‘engaging the Board through the proper process as it is reviewed.’
‘We respect the Board’s authority, and we remain committed to working toward a sustainable and adaptive regulatory framework for motorcycle taxis,’ the company said.
At the center of the dispute is how riders should be counted.
Move It said it ‘views rider allocation as a dynamic measure of live, on-demand supply,’ noting that riders go online and offline throughout the day on their own schedules.
‘Because of this natural fluidity, maintaining continuous supply for commuters means monitoring the number of riders who are actively online and ready to accept trips at any given moment, especially during peak rush hours,’ the company said.
Meanwhile, the LTFRB said that its decision is not yet final because of the pending motion for reconsideration.
‘What the agency is focused on is addressing the plight of the thousands of overboarded riders who invested their own resources to earn a decent living-and whose only fault was that they acted in good faith and trusted that they were allowed to operate under the existing rules and regulations,’ the LTFRB said.
The LTFRB added that it is ‘currently crafting measures in dealing with this sensitive issue in relation to the affected riders, while ensuring that the online boarding system of ride-hailing services is strictly complying with the government’s regulations.’
Meanwhile, Department of Labor and Employment (Dole) is looking into ways to assist motorcycle taxi riders who could lose their livelihoods following the LTFRB sanctions against ride-hailing platform Move It.
Labor Secretary Francis N. Tolentino said the agency is encouraging other motorcycle taxi operators to absorb riders who may be displaced, as it explores possible interventions for affected workers.
‘We are organizing them into an association…Perhaps after that, as we move forward, we can look at how they can be absorbed by other operators,’ Tolentino said, mostly in Filipino, on Tuesday.
The LTFRB recently ordered Move It to pay a P555.7 million fine for accepting riders beyond the government-approved cap.
As of May, the platform had 73,321 active riders across Metro Manila, Cebu and Cagayan de Oro, exceeding its authorized allocation of 17,746.
The sanctions have raised concerns about the possible displacement of thousands of riders, particularly if Move It decides to suspend or stop its operations.
Riders group Kapatiran sa Dalawang Gulong (Kagulong) Secretary General Don Pangan warned that the fine could prompt Move It to cease operations, putting the livelihoods of its riders at risk.
‘Our concern stems from the possibility that, given the enormous amount of the fine, the company might decide to shut down altogether. What will happen to the 73,000 riders whose current livelihood depends on working as motorcycle taxi riders under Move It?’ Pangan said in a separate statement.
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Even if the company continues operating and complies with the LTFRB ruling, Pangan said 55,575 riders would have no assurance of retaining their work because the platform’s authorized allocation remains at 17,746.
Tolentino said Dole is also working to organize motorcycle taxi riders into an association, which could help the agency coordinate with them and address their concerns across different platforms.
‘This is a work in progress because they do not yet have a strong organization…The rules vary across platforms and service providers, so we are trying to bring these riders together even though they compete with one another. There are many of them, and new ride-hailing apps continue to emerge,’ Tolentino said.