The proposed amendment of an ordinance that will no longer require delivery riders to secure a business permit was passed on the second reading on Tuesday and is expected to pass the third and final reading on Thursday.
Proposed by Councilor Myrna Dalodo-Ortiz, chair of the Committees on Trade Commerce and Industry and Finance, Ways and Means and Appropriations, the amendment will no longer require delivery riders to secure business permits, instead, they will only be required to secure an individual Occupational Permit with an annual fee amounting to P125.
Ortiz added that delivery riders will be saved from a financial burden of around P3,000 to P4,000 per year.
This is concerning the letter from freelance delivery riders of Davao City requesting the City Council to review and repeal City Ordinance No. 0612-21, Series of 2021, which requires them to secure business permits and payments of other fees for their operation.
“Delivery riders are an essential part of our community, working tirelessly to ensure the timely delivery of goods and services. However, the imposition of business permit fees places an unnecessary financial burden on them, especially given the nature of their work,” Ortiz said in her privileged speech.
According to Ortiz, to ease the burden of the delivery riders, the various committees deemed it proper for the removal the business permit fee and instead focused on a more reasonable solution, such as paying for an occupational permit.
She said this would help reduce unnecessary costs for riders while still ensuring that they are properly registered and compliant with local regulations.
Ortiz added that such a change would acknowledge their important role while easing the burden currently faced by these riders in the old ordinance.
Her committee repealed Ordinance No. 0612-21, Series of 2021, and amended Ordinance No. 0291-17, Series of 2017, or the 2017 Revenue Code of Davao City which expands the coverage of Service Contractors by including those who essentially provide personal services that do not fall under the exercise of a profession, such as, but not limited to, delivery riders.
Ortiz also said that the proposed ordinance covers those workers or individuals providing personal services in the City of Davao whether employed temporarily, permanently, outsourced, or working remotely (including telecommuting and work-from-home arrangements).
“In effect, the ordinance enacted would benefit all these workers in the city of Davao,” she said.
