Uber and its vehicle-financing partner Moove are facing pressure in Lagos after drivers, under the Amalgamated Union of App-Based Transporters of Nigeria (AUATON), issued a three-day ultimatum to reverse a 100% hike in the Drive-to-Own (DTO) remittance or face an indefinite strike action.
The ultimatum follows last week’s protest by drivers who shut down operations over the same increase, which doubled daily repayments from ₦9,400 to ₦18,700. AUATON says the new terms, combined with excessive working hours, unfair commissions, and questionable deductions, push drivers into debt and undermine both safety and fairness in Nigeria’s growing ride-hailing sector.
According to AUATON, drivers under the DTO scheme are now required to work at least 72 hours weekly and complete 82 trips, a workload the union described as exploitative and unsafe. Drivers are also charged a higher commission of 33.3% compared to 25% for regular Uber drivers, cutting into their already slim earnings.
The union also accused Uber and Moove of deducting fees for Health Maintenance Organization (HMO) services without enrolling drivers in any scheme. It further alleged that repayment records are sometimes manipulated to extend tenures, keeping drivers trapped in debt. “These conditions amount to economic exploitation and endanger both drivers and passengers,” said Comrade Steven Iwindoye, AUATON’s Public Relations Officer in a press briefing today.
AUATON is demanding an immediate reversal of the remittance to ₦9,400, proper enrollment of all drivers in health insurance, transparent audits of repayment records, reduced workload requirements, and a harmonized commission rate of 25% in line with other Uber drivers.
Click to signupAnalysts believe Moove is struggling to keep its financing model viable in the face of inflation and rising operating costs, but drivers argue they should not be forced to absorb the losses.
