Analyst Terms Sanwo Olu’s Lagos Ride Project Advanced Slavery Scheme

An analyst, Sakiru Odekunle says the Lagos Ride project recently unveiled by the Babajide Sanwo-Olu administration in Lagos State should not be termed an empowerment project.

According to him, the project is rather an advanced slavery scheme (ASS).

Taking to Facebook to give a breakdown of the project, Odekunle stated that drivers on the scheme have to pay more than N3 million interest over a course of four years on a hire purchase agreement, amounting to N8,000 daily, before the vehicle can become theirs.

He said that besides this, the drivers still had to make an initial deposit of N1.8 million and pay other associated fees.

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Odekunle stressed that it would be foolish for a driver to pay such huge initial deposit and still pay a daily fee for four years.

He wrote:

What is Lagos Ride? It is NOT an empowerment scheme, but a deliberate advanced slavery scheme.

1. Each applicant “driver” will have to pay a non-refundable 17k to pre-qualify.

2. If the driver passes the prequalification stage, the driver will have to pay the sum of N1,845,500 which is to cover 20% cost of the vehicle, registration and insurance, advance rent payment, first aid kit, e-taxi licence and training.

3. Driver will remit 8,709 daily and compulsory.

4. Driver will still pay 25% of each trip like the normal uber commission.

5. Number 3 and 4 will continue without any hitch for 4 years and the car becomes driver’s own.

6. Driver will fuel the car on his own.

7. Ibile holdings will handle servicing and maintenance through GAC motor The above is just summary of the scheme.

Odekunle stated that the slavish terms raised questions that must be addressed by the state government.

1. If I am a driver and I have 1.8m, will I be fool enough to go and subject myself to all the above or get a good Toyota car of my own and register with already available e-hailing platforms?

2. If 1.8m is just 20% of the vehicle, that means the actual cost o the car is 9m even if it’s more than brand new who cares?

3. Please multiply 8,709 daily by 365 days. This means in a year, the driver would have paid 3,178,785. Now multiply just 3m by 4 years and it follows that the driver would have paid 12m and worked for 4 years to own the car. Now, the car cost 9m and you will pay 12m over 4 years.

4. 4. If the e-hailing platform charges between 10% and 25% commission, why can’t the scheme that is claiming empowerment not charge below the 10% at least?

5. The 25% commission itself will also affect the driver’s ability to read the daily remittance of 8,709.

6. With the above, can one consider the scheme empowerment or slavery?

7. In my honest opinion, I will prefer to do nothing than enslave myself with the arrangement even if I don’t have an option.

8. Do you also know that if in the course of working under the platform, there is high possibility that the car will be withdrawn from driver in the event of not meeting the remittance repeatedly for whatever reasons even if genuine? So after two years or so of labour the car can be taken away from you & if you go to the court the main contract terms and conditions will be read to the driver and will be all efforts wasted. Sad that some drivers won’t read the contract word for word and even some that will do will still accept because they just want to start hustling as the saying goes.

   CORRECTION: The analysis covered in this story was first attributed to a Twitter user, Otaigbe Imadegbelo. Further checks by this reporter showed it was originally written by a Facebook user, Sakiru Odekunle. The error is highly regretted.