Grab’s new earnings plan aids delivery riders amid price woes

Dominant super app Grab Philippines has rolled out a more competitive compensation scheme for delivery partners to help them cope with the current market and inflationary challenges.

Grab Philippines chief operating officer Ronald Roda said in a press statement on Wednesday that the new enhancements—which promote platform experience, earnings fairness and sustainability, and social safety nets—will benefit all industry stakeholders.

The new program, which was designed to better align with its partners' efforts and the realities of the delivery landscape, was launched after a two-month pilot.

The revamped plan addresses imbalances and ensures fairer compensation by improving the previous model that offered a fixed base fare, which was often not reflective of the actual effort involved in each delivery task.

A guaranteed minimum fare is also introduced in the new model to provide financial stability and protect partners from low-earning trips.

This guarantees that every delivery job, no matter how small, contributes a fair amount towards a partner's income.

On top of all these, Grab ensures that its delivery partners on the platform continue to earn significantly more than the minimum wage.

"In the face of evolving consumer behaviors and significant macroeconomic shifts, our delivery service's remarkable resilience is a reflection of our philosophy that our success is intertwined with the success of our partners," Roda said.

"As we continue to navigate the post-pandemic era, we are firm in our commitment to showcasing our adaptability and unwavering support to our delivery partners," he added.

Grab has also made "significant upgrades" to the partner-platform interaction, deploying advanced digital tools for better order forecasting and preparation time accuracy, as well as merchant education programs.

These will significantly reduce unnecessary delays–allowing partners to fulfill more orders in less time, and thus increasing their potential earnings.

Likewise, Grab has improved its algorithms and enhanced the merchant-partner interface to ensure pinpoint accuracy in merchant details and geotagging, which means that partners can trust the platform to direct them accurately.

"With these progressive enhancements, we're not just optimizing a service; we're fortifying a platform of vast opportunities. This move goes beyond transactional interactions, touching lives and empowering thousands of delivery partners across the Philippines by providing more equitable earnings, stability, and growth potential," Roda affirmed.

Locally, Grab has committed to helping the government generate 500,000 livelihood opportunities for Filipinos in the coming years.