China sets rules to safeguard drivers' rights, curb monopoly in ride-hailing sector
China rolled out a guidance on Tuesday to better safeguard the rights of workers from emerging businesses in the transportation industry, such as ride-hailing, requiring operators to improve income distribution mechanisms and guarantee rest periods for drivers.
The move came after Chinese regulators told 10 companies in the delivery and ride-hailing sectors, including Meituan, DiDi Global, Alibaba Group's Ele.me and Tencent Holdings, to better protect their workers in September.
The rules were set in an effort to improve the high-quality development of emerging businesses in the transportation industry and better serve the broad masses, the Ministry of Transport said in an online statement.
It also listed other tasks in the statement, including maintaining a fair competitive market order in the ride-hailing sector and providing drivers with social insurance.
Escalated anti-monopoly measures will be taken to regulate companies in the sector, to maintain a fair competitive market order and prevent the disorderly expansion of capital, the Transport Ministry said, adding illegal activities, such as low-price dumping, profiteering from big data and inducing fraud, will be punished based on law.
China is considering setting an upper limit on commission taken from drivers by car-hailing platforms, the Ministry of Transport said in August.