Flooring Guide by Cinvex — President Prabowo Subianto has publicly criticized the high commission fees charged to online ride-hailing (ojol) drivers, describing the current practice as unfair given the physical demands and risks these workers face daily. He argues that the standard 20 percent deduction taken by ride-hailing companies is excessive and disproportionate to the labor provided by the drivers.
During his address at the International Workers’ Day (May Day) commemoration held at Monas, Central Jakarta, on Friday (May 1), President Prabowo expressed his strong disapproval of these high commission rates. “These online drivers put their lives on the line every single day, yet these application companies demand a 20 percent cut. How can anyone agree to such a rate?” he asked the assembled crowd of workers.
Engaging the audience, the President questioned what a fair rate might be, suggesting that the current financial burden on drivers is unsustainable. He emphasized that the commission deducted from drivers should be capped well below the current levels. “I am stating here and now that even 10 percent is too much; it must be lower than 10 percent,” he stated firmly.
President Prabowo did not hold back in his assessment of the industry’s power dynamic, noting the significant disparity between the effort exerted by the drivers and the profit margins enjoyed by the platform operators. “It is unacceptable that the drivers provide the sweat and labor while the companies reap the rewards,” he remarked.
In a stern warning to ride-hailing firms operating within the country, the President made it clear that they must align with government policies intended to protect workers. He stated bluntly, “If they do not want to follow our rules, they should not be doing business in Indonesia.”
To back his rhetoric with legislative action, President Prabowo announced the signing of Presidential Regulation (Perpres) Number 27 of 2026, which focuses on the protection of online transport workers. Under this new mandate, the commission that application companies are permitted to charge their driver-partners is capped at a maximum of 8 percent. This policy effectively shifts the revenue split, increasing the driver’s share from the current 80 percent to at least 92 percent.
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Summary
President Prabowo Subianto has officially signed Presidential Regulation Number 27 of 2026 to improve the welfare of online ride-hailing drivers. The new regulation mandates a significant reduction in commission fees charged by platform operators, capping them at a maximum of 8 percent. This move aims to address concerns regarding the physical risks faced by drivers and the unfairness of previous 20 percent deduction rates.
The President emphasized that these companies must strictly comply with the new mandate or risk losing their right to operate in Indonesia. By increasing the drivers’ share of earnings to at least 92 percent, the government intends to ensure a more equitable distribution of profits within the ride-hailing industry. This legislative action reflects the administration’s commitment to prioritizing the protection of labor rights and economic sustainability for gig workers.