BEIJING: China outlined new rules on Tuesday December 1 to protect the rights of drivers in its giant ride-hailing industry, requiring operators of the services to provide them with social insurance and make their earnings public.
In a statement, the transport ministry said ride-hailing companies should improve income distribution mechanisms. Anti-monopoly measures will be stepped up against such companies and a disorderly expansion of capital will be prevented in the sector, it said.
The rules came after Chinese regulators told companies like Didi Global, Meituan, Alibaba Group's Ele.me and Tencent Holdings in September to improve how they distributed incomes and ensure rest periods for drivers and food-delivery riders.
President Xi Jinping has called for China to achieve common prosperity in order to narrow a yawning wealth gap that threatens the country's economic ascent and the legitimacy of Communist Party rule.
The government in China has come down hard on its biggest tech firms this year, criticising them for policies that exploit workers and infringe consumer rights, as part of a campaign to exert more control over large swathes of the economy after years of runaway growth.
In August, a transport ministry official said the regulator would impose a cap on the percentage ride-hailing platforms can take from drivers' fees.
China's state media has criticised Didi, the country's dominant ride-hailing platform, for not paying drivers fairly.