The record
Written from the 1 report below. Nothing here is unsourced.
- The Central Consumer Protection Authority has fined Rapido ₹10 lakh for using 'confirm shaming' tactics that pressure passengers into paying more than the displayed fare during booking.
- Commuters reported that app screens showed prompts incentivising drivers based on extra money added by passengers, a practice they said had continued for a long time.
- In August, the Ministry of Road Transport and Highways had directed ride-hailing aggregators not to display tipping prompts before or during a journey, stating that tipping is voluntary.
- The Telangana Gig and Platform Workers Union welcomed the fine and demanded a voluntary, transparent post-ride tipping option that goes directly to the worker.
- The union also raised concerns about Merchant Discount Rate on UPI, stating it must never be indirectly recovered from gig workers' earnings.
What to watch next
- Whether Rapido appeals the fine or changes its app prompts
- Whether other aggregators face similar CCPA action for tipping prompts
- Any regulatory steps on MDR charges being recovered from gig workers
Who said what2
Only words found exactly in the article are shown, attributed and linked to the line they came from.
K. Nisha
1 quote · 1 outlet
“The app screen displayed a prompt that incentivised drivers taking my trip if I added more money. This has been happening for a long time.”
In the article
…that encourage app users to pay more than the displayed fare, commuters and gig workers’ union alike welcomed the move. “It was only four days ago that I booked an auto from the Begumpet Metro Station to my house. The app screen displayed a prompt that incentivised drivers taking my trip if I added more money. This has been happening for a long time. In fact, I read the news that the government had ordered an end to this,” said K. Nisha, an educator, working at a school in Banjara Hills. A media professional who often uses an aggregator for rides on two wheelers…
Shaik Salauddin
1 quote · 1 outlet
“Remove misleading red/orange price warnings. Stop manipulating consumers. And when customers genuinely appreciate a worker’s service, give them a clear option to tip directly to the gig and platform worker after the ride, voluntarily and transparently,”
In the article
…The Telangana Gig and Platform Workers Union welcomed the move, and stated that a voluntary and transparent post ride tipping option must be available to passengers if they wished to tip the cabbie or the rider. “ Remove misleading red/orange price warnings. Stop manipulating consumers. And when customers genuinely appreciate a worker’s service, give them a clear option to tip directly to the gig and platform worker after the ride, voluntarily and transparently, ” said TGPWU office bearer Shaik Salauddin. In a separate development, the union, touching upon Merchant Discount Rate (MDR) on UPI, stated that MDR must never be indirectly recovered from the worker’s earnings. “Gig…
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Coverage1
All filed from IndiaSingle origin
Named India · Rapido · Central Consumer Protection Authority · K. Nisha · Ministry of Road Transport and Highways · Shaik Salauddin · Telangana Gig and Platform Workers Union
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