Ride-Hailing Drivers' Earnings Plummet to Alarming Levels

The Institute for Demographic and Affluence Studies (IDEAS) has found that ride-hailing drivers in Indonesia are increasingly facing unacceptable working conditions. Despite rapid growth in the digital economy and high public reliance on online transport services, drivers’ welfare continues to decline.

The findings, detailed in IDEAS’s policy brief ‘Ending Unacceptable Work in Ride-Hailing’, were based on a December 2025 survey conducted months before President Prabowo Subianto issued Presidential Regulation No. 27 of 2026 on Protecting Online Transport Workers in early May 2026.

The survey revealed that drivers’ average net monthly income dropped sharply from Rp2.9 million in 2023 to Rp1.7 million in 2025, while daily operational costs rose to nearly half their gross earnings. Drivers now work 9-12 hours daily, seven days a week, with 50.3% having experienced work-related accidents, including 5.6% sustaining serious injuries.

Commission cuts by platforms remain a major issue, with 50.3% of drivers reporting 20% deductions and 24.2% facing 25-30%. Promotional discounts further reduce earnings by Rp2,000 to Rp10,000 per trip for nearly half of drivers. IDEAS warned that the current ‘partner’ status allows platforms to avoid formal employment obligations while exerting significant control over drivers.

The Ministry of Manpower aims to fully implement the 8% commission cap from June, while Chairman of the Family House Association (RKB), Wigit Bagoes Prabowo, stated the policy reflects commitment to informal sector workers and the people’s economy. Meanwhile, House of Representatives’ Commission V is pushing for legal frameworks to protect drivers through revisions to the Road Traffic and Transportation Law.