The latest chapter in the ongoing saga.
The Land Transportation Franchising and Regulatory Board (LTFRB), on Wednesday, ordered transport network companies (TNC) Uber and Grab to deactivate drivers who registered after June 30, 2017. The mandate was passed after both TNCs filed motions for reconsideration to delay the implementation of the agency’s July 11, 2017, order which forces both transport companies to delist drivers without proper documentation.
“The Board acknowledges receipt of the payment of fine in the amount of Five Million Pesos (P5,000,000) from each Respondent as contained in the Board’s Consolidated Order dated 11 July 2017 has been fully complied with,” said the July 26 circular. “[The] subsequent filing by the Respondents of the [MRs] have the effect of staying the execution of the other directives contained in the 11 July 2017 Consolidated Order only for those Transport Network Vehicle Service (TNVS) existing in their systems as of 30 June 2017,” it added.
According to Rappler, the LTFRB has issued 3 orders regulating Uber and Grab operations:
- July 21, 2016 – Moratorium on processing new driver applications
- July 11, 2017 – Imposition of P5-million fine each, and removal of all drivers with expired or no permits
- July 26, 2017 – Deactivation of all who registered for Grab and Uber after June 30, 2017
Uber and Grab’s motions for reconsideration will still be blocking the agency’s July 11 order, but only for drivers registered as of June 30, 2017.
According to the LTFRB, both TNCs have a combined total of around 42,000 drivers, but only 15,400, at the most, have the proper documents to operate legally.
Read the LTFRB’s mandate here:
LTFRB July 26, 2017, Order by Ram Talabong on Scribd