NewsMacroLagos e-hailing drivers' union AUATON to shut down Bolt and inDrive in October, demands 10% commission cap and fare overhaul

Lagos e-hailing drivers' union AUATON to shut down Bolt and inDrive in October, demands 10% commission cap and fare overhaul

Author: TechNext24·

Key Takeaways

  • •AUATON has called a 'mega protest' for October intended to shut down the Bolt and inDrive e-hailing apps across Lagos.
  • •The union demands a comprehensive fare review reflecting real operating costs and a reduction of platform commissions to no more than 10 percent.
  • •AUATON is seeking welfare structures such as health insurance, accident support and retirement initiatives, along with transparent trip-pricing breakdowns from both platforms.
  • •The union also wants improved rider verification, including possible National Identity Number-linked checks, to reduce impersonation, fraud and security risks.
  • •AUATON plans to rigorously evaluate credible local mobility platforms as alternatives for drivers while remaining open to negotiations with Bolt and inDrive.
Lagos e-hailing drivers' union AUATON to shut down Bolt and inDrive in October, demands 10% commission cap and fare overhaul

The Amalgamated Union of App-based Transporters of Nigeria (AUATON) has announced a "mega protest" for October that will shut down the Bolt and inDrive e-hailing apps across Lagos, in a major escalation of its dispute over fares, commissions and driver welfare.

The announcement was made in a statement signed by Comrade Jaiyesimi Azeez, Chairman of the union's Lagos State Council. According to the statement, the action is designed not only to draw widespread attention to the plight of e-hailing drivers and other app-based workers, but also to bring Nigeria's two dominant ride-hailing platforms to the negotiating table. With both apps offline, Lagos riders would have fewer e-hailing options for the duration of the action, giving passengers — not just drivers — a direct stake in the dispute.

The union argued that mounting operating costs — including vehicle financing obligations, fuel expenses, maintenance, insurance, data subscriptions, government levies and other daily outlays — have placed enormous financial pressure on drivers. The platforms, it said, have declined to adjust existing fare and commission structures to reflect those realities, raising serious concerns about the long-term sustainability of the profession.

"The proposed Mega Shutdown is a structured and collective industrial action intended to draw the attention of relevant stakeholders, regulatory authorities and app-based transport companies to the legitimate concerns of drivers. It is a coordinated demand for fairness, transparency, dignity, welfare and sustainable working conditions for app-based transporters," the statement reads.

Core demands: fares, commissions, welfare and verification

At the top of AUATON's list of demands is a comprehensive fare review. The union said app companies must adjust fares to reflect prevailing economic conditions and the actual cost of operating a vehicle, with any acceptable fare structure accounting for fuel, vehicle maintenance, insurance, financing and remittance obligations, data costs, government levies, traffic and waiting time, and a reasonable income for the driver.

The union is also seeking a substantial reduction in platform commissions, with a target of no more than 10 percent, subject to negotiations and a transparent explanation of any additional charges or deductions. It further demanded an end to fare and commission manipulation, insisting that any significant change to fares, commissions, subscriptions or other financial terms be preceded by meaningful consultation with driver representatives.

Beyond pricing, AUATON wants Bolt and inDrive to establish meaningful welfare structures for drivers, including health insurance, accident support, emergency assistance, retirement and social protection initiatives, and driver support programmes.

Trip pricing transparency is another key demand, with the union calling on both platforms to provide clear, understandable information covering passenger fares, driver earnings, platform commissions, discounts, promotional deductions, other charges, trip distance and duration, and applicable pricing variables.

"Drivers should be able to understand exactly how the amount credited to them was calculated," the union said.

Finally, AUATON is demanding proper rider verification to enhance driver safety, including consideration of National Identity Number (NIN)-linked identity verification, subject to applicable Nigerian privacy, data protection and regulatory requirements. The stated objective is to reduce impersonation, fraud, robbery, assault and other security risks affecting both drivers and passengers.

The planned action also aims to push for proper regulation of the e-hailing industry and to create a framework for constructive negotiations between drivers, the union, the government and platform operators.

Alternative platforms under consideration

AUATON acknowledged that one of the major obstacles to driver participation in industrial actions is financial vulnerability. Many drivers operate under hire-purchase arrangements, rentals, daily remittances and other financial obligations, meaning an extended period offline could expose some to serious hardship.

"Rather than ignoring this reality, AUATON Lagos is proposing a strategic alternative. The Council shall engage credible Nigerian/local mobility platforms capable of providing drivers with an alternative operating environment where appropriate. The objective is not merely to replace one application with another. The objective is to promote an industry model that places drivers at the centre of its economic structure," the statement reads.

The union stressed that any local platform under consideration would be subjected to proper evaluation, covering fare structure, commission model, driver welfare provisions, safety mechanisms, payment transparency, customer support, data protection, driver participation in decision-making, dispute-resolution mechanisms, regulatory compliance and the sustainability of the business model.

"No local platform should be presented to drivers merely because it is Nigerian or locally owned. It must demonstrate that its operating model provides tangible value and protection for drivers. This will ensure that the Mega Shutdown does not simply move drivers from one platform to another without addressing the underlying problems," the union said.

AUATON added that it remains open to meaningful and transparent negotiations with Bolt and inDrive on improvements to drivers' welfare management, upward fare reviews and reduced commissions, saying the purpose of the industrial action is ultimately to secure measurable outcomes rather than simply to shut down operations. Attention will now turn to whether Bolt and inDrive come to the negotiating table — and whether the regulatory authorities the union is appealing to step in — before the planned October action.

Source: TechNext24