Sunday, October 17, 2010

Firoz.T.Totanawala The Bangalore Metro Reporter DELIVERY BOYS TIPS THE DONS OF DELIVERY LPG DELIVERY BOYS IMPOSES A TIP TAX ON THE INNOCENT CONSUMERS

























BY. FIROZ.T.TOTANAWALA 

 THE BANGALORE METRO REPORTER 

DELIVERY BOYS TIPS

THE DONS OF DELIVERY 

LPG DELIVERY BOYS IMPOSES A TIP TAX ON THE INNOCENT CONSUMERS 

 Arguably, the Gas supply business in India is indeed a cream pie venture not merely for the owners and Managers but even for local delivery boys. 

 Can any cooking gas consumer dream of getting their LPG cylinders delivered to them by the delivery boys without paying the tips? Except a few VVIPs and VIPs, all other ordinary mortals who use cooking gas have to pay the tips compulsory to the delivery boys. Over the years, payment of tips has indeed become mandatory. 

The LPG supply business in our country is out of competition and such is the pathetic state that whenever a delivery boy knocks your door, there is a sense of satisfaction. The consumer feels privileged for having received the prestigious delivery of the gas and without much hassle willingly pays the tip to the delivery boy. But has anyone pondered about the volume of amount paid to the delivery boys all put together? 

NO ESCAPE 

Even though the gas agencies pay them salary the delivery boys make many times their salary from ‘tips’. Nobody, except the VIPs are exempted from this “tips tax”. As of now, the tips range between Rs. 6 for ground floor to Rs. 20 to the higher floors. Everybody in the business, the LPG companies, the gas agencies, the consumer activists, the consumers all are aware of this menace; but they are all simply helpless. In Bangalore alone, the tips have become a multi crore business…. 

DOOR LOCK EXCUSE 

Interestingly many gas agencies prominently print ‘no tips please’ on their receipts. But the delivery boys care two hoots for this and demand the tips as if it is their right. And everybody is afraid to oppose it. And what if the tips are not paid? Once the consumer refuses to pay tips, his name will be entered in the black list of Delivery boys and supply of cylinders to such consumers will become erratic. The Delivery Boys will use the excuse of door lock and the consumer cannot approach the gas agency every time the supply is denied or delayed.

 The gas agencies too will not come to his rescue because the Delivery Boys would have already submitted the door lock note. And the agencies promise that delivery will be made within few days. And most of the consumers are not prepared to take the risk of complaining to the gas agencies or to the oil companies whichever it is. 

TIP OF SALARY

 In fact, the Delivery Boys fix the tips amount also. Normally the price of cooking gas is fixed at fancy rate which is presently Rs. 360.90. However, the Delivery Boys have to be paid at least Rs. 370 if the house is situated on the ground floor and additional Rs. 5 for upper floors. So a minimum of Rs. 10 is guaranteed to Delivery Boys as tips per cylinder. Now, if he delivers at least 50 cylinders a day, he makes at least 500 per day. Normally the Gas agencies pay them around Rs, 1500 to 2000 as salary. In a way, the tips of a Delivery Boy are more than three times his salary. 

 BLACK GAS

 The Delivery Boys also make a fast buck in diverting a cooking gas to small time hotels at a premium rate and this business is popularly known as the ‘adjustment’ business. Normally a big percentage of consumers have two cylinders and for a normal family, a cylinder can last for more than a month and sometimes two months. With an additional cylinder, they will not book the cylinder immediately. The Delivery Boys know all these customers and makes it a point to ‘book’ the cylinders in their names. 

These cylinders will be sold to hotels at a premium. The Delivery Boys make a cool profit of at least Rs, 100 per such ‘diverted’ cylinders. The gas cylinders for commercial use actually costs more than double the cost of cooking gas as they are not subsidized. So, a cooking gas worth 360 can be easily sold at Rs. 600 and still it is worth it. There are permanent customers for these ‘diverted” cylinders. 

 WHATEVER LEFT IS MINE! 

There is another avenue for the Delivery Boys to make money without attracting the notice of people. In some cases, they supply cylinders and take back the empty cylinders which may have still some amount of gas left. In few cases, the quantum of gas left in the empty cylinder may be three to four kgs. The consumer has to forgo this gas as the new cylinder has been already supplied to him. He cannot ask the delivery boy to supply the new cylinder at a later date and even if he asks so, the Delivery Boy will not oblige. The Delivery Boy will then supply the remaining gas left in the cylinders to hotels for a nominal rate. 

MULTI CRORE SCAM 

All these make one wonder whether there are any checks stipulated while awarding gas agencies. Everybody knows this menace. Even assuming in Bangalore, the yearly consumption of gas cylinders is about a crore and the tips business alone nets 15 crores as a majority of consumers are in first and subsequent floors. Moreover, the diversion business nets at least another 25 crores to the Delivery Boys. 

PAY FOR YOUR IGNORANCE

 Interestingly, the customer can go personally and exchange the cylinder for which Rs. 2 is reduced form the cost of the cylinder since same is levied as delivery charges. But no gas agency allows such reduction and collects the entire amount even if a customer visits their premise for delivery with exchange of empty cylinder. And in most cases, the customers are all ignorant about this fact. 

It is high time that the oil companies put their foot firmly down on the menace. If any customer complains of compulsory collections of tips, the license of the agency should be suspended forth with. Only then the gas agencies will sit up and take appropriate measures to curb the mandatory tips menace. But the question is-whether the oil companies show the guts to end the menace? In few cases, the mandatory tips collected by the Delivery Boys are said to be shared with the agencies!

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