Lagos State Assembly Summons Ride-Hailing Giants Over Labour Rights Violations

Lagos State
The Lagos State House of Assembly issued a formal summons to major ride-hailing platforms, including Uber, Bolt, InDrive, Rida, and LagRide, for a public hearing addressing allegations of labor rights violations and regulatory non-compliance. The summons follows a detailed petition submitted by the Amalgamated Union of App-Based Transporters of Nigeria (AUATON), titled “Public Petition Against Uber, Bolt, Indrive, Rida, and LagRide for Non-Compliance with the National Collective Agreement and Corporate Negligence, Resulting in the Victimisation of App-Based Transport Workers in Nigeria.” The petition highlights systemic issues in the ride-hailing sector, accusing these companies of exploitative practices that undermine driver welfare and violate labor agreements.

The petition, presented by AUATON’s Lagos Chapter President, Comrade Kolawole Aina, outlines several grievances, including job misclassification, inadequate safety measures, and unilateral pricing policies. Drivers are often classified as independent contractors rather than employees, denying them access to benefits such as health insurance, pensions, or collective bargaining rights. AUATON argues that this misclassification enables platforms to evade responsibilities under the National Collective Agreement, adopted in May 2024, which mandates fair treatment, safety protocols, and union recognition for app-based transport workers.

Safety concerns form a significant part of the petition, with AUATON citing incidents of violent crimes against drivers, including robbery and assault, due to inadequate passenger verification processes. The union claims that platforms like Uber and Bolt fail to implement robust safety measures, leaving drivers vulnerable to attacks during trips. Additionally, the petition highlights cases where drivers face deactivation or suspension without due process, often triggered by passenger complaints or algorithmic decisions, further exacerbating their job insecurity.

Another critical issue raised is the lack of transparency in commission structures and fare pricing. AUATON alleges that ride-hailing companies impose high commission rates—sometimes exceeding 25%—while offering drivers minimal earnings per trip, often below the cost of vehicle maintenance and fuel. The union also accuses these platforms of unilaterally adjusting fares without consulting drivers, leading to financial strain and protests, such as the nationwide strike planned by AUATON in April 2025.

The petition further addresses the suppression of union activities, with AUATON claiming that platforms penalize drivers for participating in union-led initiatives or advocating for better working conditions. This, the union argues, violates the National Collective Agreement’s provisions on freedom of association and collective bargaining. The lack of welfare support, such as insurance or emergency funds for drivers facing accidents or medical emergencies, is another point of contention, with AUATON describing it as “corporate negligence” that endangers drivers’ livelihoods.

The Lagos State House of Assembly, led by Speaker Rt. Hon. Mudashiru Obasa, has taken a proactive stance in addressing these concerns. The public hearing, scheduled for June 17, 2025, at the Assembly Complex in Ikeja, aims to bring together representatives from the summoned companies, AUATON, and other stakeholders, including the Lagos State Ministry of Transportation and the Nigeria Labour Congress (NLC). The Assembly’s Committee on Transportation, chaired by Hon. Temitope Adewale, has been tasked with investigating the allegations and recommending a regulatory framework to address the unrest in the ride-hailing sector.

The hearing will also examine the companies’ compliance with local regulations, such as the Lagos State Transport Sector Reform Law of 2018, which mandates licensing, safety standards, and fair labor practices for transport operators. AUATON has called for stricter enforcement of these laws, accusing ride-hailing platforms of exploiting regulatory loopholes to maximize profits at drivers’ expense. The union has also urged the Assembly to compel these companies to adopt the National Collective Agreement fully, ensuring drivers receive fair wages, social security, and protection from arbitrary deactivation.

The ride-hailing sector has been a significant contributor to Nigeria’s gig economy, providing jobs for thousands of drivers in Lagos alone. However, the rapid growth of platforms like Uber, Bolt, and InDrive has outpaced regulatory frameworks, leading to tensions between drivers, companies, and regulators. The outcome of the public hearing could set a precedent for labor rights in Nigeria’s gig economy, potentially influencing policies across other African markets where these platforms operate.

AUATON has emphasized that its goal is not to antagonize ride-hailing companies but to foster a fair and sustainable working environment. The union has proposed several recommendations, including mandatory safety training for drivers, transparent fare-setting mechanisms, and the establishment of a grievance resolution process. It also seeks the creation of a welfare fund to support drivers facing medical or financial emergencies, funded by a portion of the platforms’ commissions.

The Lagos State House of Assembly has assured stakeholders of a thorough and impartial investigation, with Speaker Obasa emphasizing the need to balance the interests of drivers, companies, and passengers. The Assembly has also invited public submissions to ensure a comprehensive review of the issues. As the hearing date approaches, all eyes are on Lagos, a major hub for ride-hailing in Africa, to see how this landmark case will shape the future of the industry.

The summoned companies have yet to issue official statements in response to the petition, though sources indicate they are preparing to defend their operational models at the hearing. Uber and Bolt, in particular, have faced similar criticisms in other countries, including South Africa and Kenya, where drivers have protested against low earnings and poor working conditions. The Lagos hearing could prompt these companies to reassess their policies in Nigeria to avoid further regulatory scrutiny.

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