Govt tells ride-hailing apps: No tipping prompts before trip completion

The Ministry of Road Transport and Highways has directed ride-hailing aggregators to stop displaying tipping prompts to passengers before or during a journey, stating that such practices violate the Motor Vehicle Aggregator Guidelines, 2025.

In a communication to motor vehicle aggregators, the Ministry said tipping is voluntary and should not be solicited in a manner that suggests it influences ride confirmation, waiting time, or the level of service. It warned against features that could be interpreted as advance tips or incentives for quicker ride confirmation.

Citing Clause 14.15 of the guidelines, the Ministry said passengers may tip drivers only after the journey is completed. It also reminded aggregators that the entire tip amount must be credited to the driver, without any deductions.

The Ministry said it had observed prompts from certain aggregators indicating that adding a tip could improve the chances of quicker ride confirmation or make a driver more likely to accept a trip. Such features, it said, directly or indirectly create the impression that paying extra could improve service quality or priority, which is contrary to the guidelines.

Accordingly, the Ministry has advised all motor vehicle aggregators to immediately review their mobile apps and digital platforms and ensure compliance. It said no feature, prompt, or user interface element should be displayed before completion of a ride if it could mislead passengers into believing that paying more would bring better service.

The directive is part of the broader Motor Vehicle Aggregator Guidelines, 2025, which aim to regulate app-based transport services across India. The guidelines set standards for licensing, passenger safety, fare transparency, and driver welfare.

Reacting to the development, a drivers’ union said tips cannot replace fair wages for gig and platform workers. The union demanded that the Telangana government notify minimum fares, which it said should be arrived at in a transparent manner. It also highlighted the financial uncertainty faced by drivers in the absence of guaranteed earnings.

Some legal experts noted that the Ministry’s order strengthens consumer protection by preventing misleading prompts. However, they said that effective enforcement would require regular audits of aggregator platforms and stringent penalties for non-compliance.

The guidelines also aim to address grievances of platform workers, who have repeatedly called for better pay and working conditions. While the new directive clarifies the voluntary nature of tips, workers’ representatives maintain that fair minimum fares are essential to ensure adequate income.

The ministry’s communication comes amid increasing scrutiny of gig economy practices in India, with several states exploring legislation to protect the rights of app-based workers. The move is seen as a step toward clearer rules for ride-hailing services.