LTFRB tells ride-hailing firms: Follow 20% fare discount to seniors, students, PWDs

Transport Network Companies (TNCs) and Transport Network Vehicle Services (TNVS) should not charge to the driver the mandatory discount for senior citizens, students and persons with disability (PWDs), the Land Transportation Franchising and Regulatory Board (LTFRB) warned on Wednesday, April 2.
LTFRB chairperson Teofilo Guadiz III ordered all the Transport Network Companies (TNCs) and Transport Network Vehicle Services (TNVS) to provide the mandatory 20 percent discount because, as he emphasized that doing otherwise is a clear violation of the law.
“The 20% discount for fare is a privilege mandated by the law for senior citizens, students and PWDs based on Republic 9994, RA 11314, at RA 9442. We in the LTRFB expect that all TNC and TNVs operators will comply with these laws,” said Guadiz.
In order to have a clear guideline on the matter, Guadiz said the LTFRB Board has come up with a ruling that the 20 percent discount availed by passengers with fare privileges shall be strictly shared by the TNC and TNVS operator, and must not be passed on to drivers.
He is referring to the LTFRB Memorandum Circular No. 2025-10 which sets the guideline on the 20 percent discount.
Guadiz said such a memorandum was approved after the LTFRB Board found out that the respective TNCs apply different formulas in arriving at the fare discount sharing.
He said the memorandum will categorically set and avoid further confusion as to who shall bear the 20 percent discounts mandated by law.
“The TNVS operator and the TNC will equally share (50%-50%) the mandated fare discounts,” the memorandum read.
“The fare discounts mandated by law and other regulations shall not be passed on by the TNC and the TNVS operator to the TNVS-Driver unless the TNVS operator is also the Driver of the vehicle,” it added.
Guadiz said the memorandum circular shall take effect 15 days following its publication in at least one newspaper of general circulation.