(Bloomberg) -- Ride-hailing firm Grab Holdings Inc. reversed its decision to cease a driver incentive program in Singapore following a backlash from drivers who are worried about their earnings during the coronavirus outbreak.
The move comes after Grab unexpectedly told its driver partners it would replace existing incentive programs with a new government-backed virus aid package. Grab’s so-called “Super Steady Streak” program has been popular with drivers because it gives financial rewards to those who recorded at least 200 trips over a number of months.
“We have heard their feedback about the Super Steady Program and will continue” it, a Grab spokesperson said. “We regret that the rollout of this scheme has caused unnecessary anxiety among our driver-partners.”
The backlash and Grab’s subsequent reversal illustrate the struggle faced by Southeast Asia’s biggest ride-hailing firm as it juggles efforts to stem its losses while addressing the economic impact that the virus has had on drivers.
Singapore’s government announced a S$77 million ($55 million) package to support drivers who are experiencing a significant drop in earnings due to the virus outbreak. Under the program, the government will provide S$45 million, while taxi and ride-hailing firms will contribute the remainder. About 40,000 eligible drivers will get special relief of up to S$20 per vehicle per day for three months.
Singapore’s health ministry on Friday confirmed one more case of COVID-19 infection, bringing the total number to 86. More than half have been discharged.
Singapore Cuts Growth Outlook, Plans Stimulus Amid Virus
To contact the reporter on this story: Yoolim Lee in Singapore at yoolim@bloomberg.net
To contact the editors responsible for this story: Shamim Adam at sadam2@bloomberg.net, Andrew Janes
©2020 Bloomberg L.P.
Advertisement