Thousands of ridehailing and delivery drivers across Indonesia halted services and downed the apps on 20 May as they rallied in Jakarta and a dozen other cities to voice frustration over dwindling earnings and a proposed merger between GoTo and Grab.

The coordinated protests – organised by Garda, one of the country’s largest driver associations – marked a flashpoint in ongoing tensions between app-based drivers and the tech giants that dominate Southeast Asia’s mobility landscape.

The demonstrators, clad in their distinctive green jackets and helmets, staged sit-ins near the Presidential Palace, Parliament, and the Transport Ministry.

Many had travelled long distances from towns across Java and Sumatra, pitching tents in Jakarta’s public spaces ahead of the protest. More than 25,000 drivers were expected to participate, with many switching off their apps for 24 hours to press their demands.

Mounting discontent over commissions and subsidies

At the heart of the protest is a call for better compensation. Many drivers say they earn just 100,000 to 150,000 rupiah (US$6.09 to US$9.14) for gruelling 10 to 12-hour days.

Garda chairman Raden Igun Wicaksono argued that existing government regulations – capping platform commissions at 20% – are being flouted without consequence. “There is no sanction in the regulation and the government has always been soft on the companies,” he told Reuters.

Garda is demanding a 10% ceiling on commissions, the abolition of discounted fare schemes that erode driver income, and clear pricing regulations for delivery services.

The group is also urging President Prabowo Subianto to penalise companies that breach the rules and asking Parliament to hold hearings with drivers, regulators, and app executives.

“This is the peak of our frustration,” said Wicaksono. “We won’t stop until our demands are met. If they aren’t, the actions could escalate and tensions may rise.”

A merger in the crosshairs

The protests come at a sensitive time for both Grab and GoTo. The two tech titans are reportedly in talks over a US$7 billion-plus merger that would create a regional ride-hailing behemoth, controlling an estimated 85% of the US$8 billion Indonesian market, according to Euromonitor International.

Drivers fear such consolidation could pave the way for monopolistic practices – layoffs, lower earnings, and “predatory pricing” for consumers. The Indonesian Transport Workers’ Union has already voiced opposition to the potential deal, citing concerns that increased market power could further squeeze driver incomes.

While neither company has confirmed the merger, both have acknowledged ongoing evaluations. GoTo stated it had received “proposals from various parties but had not made any decision.” Grab, on the other hand, dismissed the merger rumours as “not based on verified information.”

Behind the scenes, however, both parties appear to be pushing ahead. Grab is reportedly conducting due diligence on GoTo’s operations and finances, with plans to finalise an agreement in Q2 of this year.

Corporate responses under scrutiny

Faced with mounting pressure, both Grab and GoTo have sought to justify their commission structures. Grab’s Indonesian public affairs chief, Tirza Munusamy, stressed that the current 20% commission is vital for maintaining platform quality, safety, and support. She added that a cut would negatively affect service standards and partner benefits.

“Drivers can choose to join other platforms that charge lower commissions,” she said.

GoTo, meanwhile, said its 20% service fee supports driver incentives and helps sustain ride volumes. It emphasised that services were operating normally despite the protest and expressed openness to dialogue, but maintained that reducing its commission share was not a viable solution.

Critics, however, see a growing disconnect between driver welfare and the tech firms' growth ambitions.

With no full-time employment or benefits for most drivers, the gig economy’s social contract remains fragile. As such, the 20 May protest has become emblematic of broader anxieties in the platform labour economy – where worker voices are often drowned out by market metrics.

Government walks a tightrope

Indonesia’s Transport Minister, Dudy Purwagandhi, acknowledged the grievances, noting that the government is “evaluating the scheme” following a meeting with company representatives.

However, activists argue that more concrete action is needed. Without enforcement mechanisms or political will, they fear that platform operators will continue to skirt rules with impunity.

The protest also exposed cracks within the driver community itself. While Garda led the demonstrations, a separate coalition of drivers declined to participate, calling the action politically motivated – suggesting a rift in strategy, if not in sentiment.

Indonesia, home to over 275 million people, is Southeast Asia’s largest market for ride-hailing services. Motorcycle taxis and app-based couriers are not just transport conveniences – they’re lifelines in a country where public transit remains patchy and car ownership is out of reach for many.

As platforms chase scale and profitability, tensions with their core workforce may continue to surface. The 20 May protest sent a strong signal: gig workers are finding their collective voice, and they’re not afraid to use it.

Whether the government will act decisively, and whether companies will revisit their compensation models, remains to be seen. For now, the message from Indonesia’s streets is clear – drivers want a fairer slice of the pie, and they’re prepared to park their bikes and stand their ground to get it.