Government asks cab aggregators to stop advance tipping option: Consumer Affairs Secy Khare
The Indian government has ordered cab aggregators to remove advance tipping options, labeling the practice as misleading and unfair. This follows a penalty imposed on Rapido and ongoing investigations into other major ride-hailing platforms.
Why it matters
This move represents a significant regulatory intervention in the gig economy to protect consumer rights against manipulative digital interface designs.
The government has ordered cab aggregators to stop providing advance tipping options even before booking a ride, as the practice is misleading and unfair, Consumer Affairs Secretary Nidhi Khare said on Wednesday (September 16, 2026).
The secretary's comment comes a day after the Central Consumer Protection Authority (CCPA) slapped a ₹10 lakh penalty on ride-hailing platform Rapido for various unfair business practices, including advance tipping for drivers.
The authority is currently examining the business practices of Uber and Ola. Responding to queries related to taxi ride aggregators, Ms. Khare on Wednesday (September 16, 2026) said the National Consumer Helpline has received a lot of complaints against them. "[Consumers were] basically alleging that actually even before taking the ride, there was a concept of introducing an advance tip," she said, adding that consumers were being cajoled that unless they pay the tip, they will not get the ride.
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