ComfortDelGro said on its website that it will widen the cap of its platform fees from SGD1.20 to SGD1.30 (US$0.93 to 1.01). The minimum fee remains unchanged at SGD1, according to The Straits Times.
Grab said that passengers will be charged SGD1.20, an increase from the current SGD0.90.
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A delivery rider trying out sample display outfits at ride-hailing and food delivery company Grab's Tampines driver centre in Singapore on March 18, 2022. Photo by AFP |
ComfortDelGro said the adjustment "helps defray the operating expenses to support the Ministry of Manpower’s initiatives for government-funded retirement funding, compensation for injury and insurance.
Grab said its fee increase will help support similar expenses, adding that the additional revenue will also go towards platform maintenance, service improvements and other welfare initiatives.
The new fee will apply only to transport rides, while other services such as GrabFood, GrabMart and GrabExpress will remain unchanged.
Under the Platform Workers Act, which took effect in January, platform workers born on or after Jan 1, 1995, are required to make higher contributions to Central Provident Fund, a mandatory social security savings scheme funded by contributions from employers and employees.
Over the next five years, contribution rates for these workers will rise by up to 2.5 percentage points annually, while rates for platform operators will increase by up to 3.5 percentage points a year.
For this reason, platform fee may be adjusted "from time to time" to reflect these changes as well as other welfare and operational costs, Grab said, as reported by Channel News Asia.
Grab had announced a similar move on Dec. 24, 2024, alongside other ride-hailing platforms.