Jordan: Government inadequacy in protecting drivers from the predation of for-hire vehicle companies

Jordan: Government inadequacy in protecting drivers from the predation of for-hire vehicle companies
(illustrative) An image showing the famous 'Uber' application, which allows smartphone users to order a driver with his/her vehicle for the purpose of transportation or delivery.

London - ImpACT International for Human Rights Policies said that drivers who work via smart application in Jordan pay an average of 30% to 35% of the delivery revenue to the companies employing them; however, these companies do not provide them with any legal protection in light of the government's failure to develop mechanisms regulating this sector.

The London-based think tank criticized the delay of the Land Transport Regulatory Commission in Jordan to meet the drivers’ demands, despite its announcement on several occasions that it had begun negotiating with the operating companies without being able to obligate implementation.

Transportation via smart applications is one of the professions that has attracted thousands of young people in Jordan who are searching for a better livelihood source and have to overcome the high unemployment rates in the country.

According to consistent testimonies reviewed by ImpACT, the employing for-hire vehicle (FHV) companies in Jordan raised the percentage of the financial fees they collect from drivers from 30% to 35% of revenue, while these companies refrain from guaranteeing any rights for them.

Saleh Mohammed, an on-demand transportation service driver, says that the high fee rates hardly secure the fuel for the driver’s vehicle, question the point of working via smart applications in light of the increasing rates, especially on long trips.

The spokesman for the Unified Committee of Transport Application Captains, Lawrence Al-Rifai, says that drivers working through smart applications do not have any body that protects or regulates their rights.

In statements reviewed by ImpACT, Al-Rifai explained, that FHV companies impose unfair conditions and compliance contracts on the drivers. The Transport Commission issues a driver’s permit only after drivers sign contracts with the operating companies.

He points out that many companies take advantage of the high demand from drivers to work by imposing unfair conditions because there is no supervisory authority to defend their rights. FHV companies in Jordan do not bear the costs of drivers' rights, including health insurance and social security.

The transportation via smart applications service in Jordan suffers from many problems that control drivers; this is despite the development and modernity such apps create in the public transport sector.

Transportation via smart applications is one of the professions that has attracted thousands of young people in Jordan who are searching for a better livelihood source and have to overcome the high unemployment rates in the country, yet obstacles and difficulties continued to haunt them from the official regulatory authorities and employers.

On-demand drivers have organized several sit-ins in recent months in front of the Land Transport Regulatory Commission headquarters to demand a halt to what they describe as the predation of companies providing transportation via smart application services on their work.

The Jordanian Minister of Transport, Wajeeh Azayzeh, previously stated that the Transport Regulatory Commission has put this issue on the table, while consulting and coordinating with the stakeholders and the competent authorities, in an effort to reach radical solutions to this problem, for both drivers and employing companies.

The transportation via smart applications sector in Jordan is witnessing a state of chaos, with many companies operating without a license. Official data indicate that the government has approved the licensing of six smart transportation applications, which are Careem, Uber, Jeeny, GawwaC, Petra Ride, and Ride. The companies employ about 13,000 drivers.

The Director-General of the Land Transport Regulatory Commission, Tariq Habashneh, estimated the number of unlicensed applications at about 28, the majority of which operate their services from outside the country. He added that the procedures for licensing transportation applications have been suspended without providing reasons.

The Land Transport Regulatory Commission collects annual fees of 100,000 dinars from each company for the license or its renewal as long as it has 3,000 cars or less. The Commission collects 70 dinars for each extra vehicle and a 400 dinar permit fee for every vehicle that runs on those apps.

ImpACT International for Human Rights Policies calls on the Jordanian Government to strengthen protections of drivers working via smart applications. And obligate FHV companies to set equitable collection rates for drivers and meet their demands to renew their work permit without referring to the parent company.

ImpACT also calls on the Jordanian official authorities to act effectively and compel FHV companies to set a collection rate of a maximum of 15%, cancel the 4% tax deducted from drivers, establish job security standards, and grant them full employment rights.

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