Prabowo signs presidential regulation reducing ride-hailing app deductions to 8 per cent

President of the Republic of Indonesia Prabowo Subianto has signed Presidential Regulation (Perpres) No. 27 of 2026 to reduce the deductions taken by ride-hailing app companies from online motorcycle taxi drivers to eight per cent.

“I said here, I do not agree with 10 per cent, it must be below 10 per cent,” said President Prabowo in his speech at the International Labour Day commemoration at the National Monument, Jakarta, on Friday.

The President emphasised that this policy is taken to defend the rights of online motorcycle taxi drivers (ojol) who work hard every day and risk their lives on the roads. According to him, the revenue-sharing scheme that has been in place so far still does not provide justice for the drivers.

“It’s too easy, you sweat and they get the money, sorry about that. If you don’t want to follow, don’t do business in Indonesia,” stressed President Prabowo in front of thousands of workers.

Presidential Regulation No. 27 of 2026 on the Protection of Online Transport Workers changes the income previously received by drivers to around 80 per cent after app deductions; the new regulation mandates a minimum 92 per cent share for drivers or a maximum eight per cent deduction for app providers.

The government also requires ride-hailing app companies to provide social security protection for their partners. President Prabowo emphasised that health and occupational safety aspects must be the top priority given the high risks of their work.

President Prabowo attended the International Labour Day celebration, welcomed by several labour leaders present, including President of the All-Indonesian Confederation of Workers’ Unions (KSPSI) Andi Gani Nena Wea and General Chairman of the Indonesian Workers’ Union Confederation (KSPI) Said Iqbal.

Accompanying President Prabowo at the event were State Secretary Minister Prasetyo Hadi, Manpower Minister Yassierli, Minister of Environment Jumhur Hidayat, and Cabinet Secretary Teddy Indra Wijaya. In addition, Deputy Manpower Minister Afriansyah Noor, Deputy Speaker of the DPR Sufmi Dasco Ahmad, Head of Government Communication Agency Muhammad Qodari, and National Police Chief General Pol. Listyo Sigit Prabowo were present.