Trukker is an e-logistics company and does not own or operate any infrastructure or physical assets (e.g. distribution centers) with a physical footprint. PS5 (Land Acquisition and Involuntary Resettlement), PS6 (Biodiversity Conservation and Sustainable Management of Living Natural Resources), and PS8 (Cultural Heritage) are therefore not applicable to the project. PS7 (Indigenous Peoples) does not apply because the project will not cause impacts to Indigenous Peoples.    

  This is a category B project according to IFC’s Policy on Environmental and Social Sustainability because a limited number of specific environmental, health, safety and social (E&S) impacts may result that can be avoided or mitigated by adhering to generally recognized performance standards and guidelines.

The e-logistics sector is fast evolving and interpretation of applicability of contractual and legal frameworks is also evolving and represents a key issue for the review. Key E&S risks and issues associated with this project are relevant to the management of the fleet of onboarded trucks and the drivers/transporters engaged in the underlying transportation and logistics business. Issues are therefore mainly related to management of employee and driver working conditions; oversight of compliance with applicable labor laws and Performance Standard 2 provisions by the company, its contractors and the truck owners/drivers; safe driving and transport emergencies, all of which can be readily managed through development and effective implementation of appropriate environmental, health and safety, and human resource policies and procedures.  

  Assessment of Risk & Management Systems: As a digital platform company, TruKKer is an aggregator connecting demand for cargo transportation services to suppliers of such services. The company’s key stakeholders are businesses that are participants in the TruKKer platform, primarily ‘cargo owners’ (demand for services), and ‘vendors’ (supply of services). There are two types of vendors; i) transport companies or transporters (companies with more than one truck) and ii) individual drivers with legal possession of a truck. The content of the vendor agreement is the same for both. Under UAE law, vendors can only subscribe to TruKKer’s platform as registered companies.

Before a vendor is approved, TruKKer verifies that all the documentation is valid. TruKKer developed an ‘Electronic Driver registration’ and a ‘Vehicle Check List’ to collect and verify all relevant documentation regarding the drivers, conditions of the truck, insurances, licenses, and the required personal protection equipment (PPE) for the driver. The company has specific vehicle requirements as part of their management system aimed at requiring the owners of the truck or the fleet to ensure good conditions of the vehicle, including safety standards.  Vehicles and drivers are not allowed to operate for the company if any of the documents is missing or has expired. Besides the annual vehicle inspection required by law, drivers must submit a daily vehicle inspection checklist before a trip is authorized, which is verified by TruKKer staff. These requirements are also included in the contract signed between TruKKer and the vendor.

Trukker developed and has implemented environmental, health and safety and quality management systems, and obtained the relevant certifications including ISO 9001, ISO 14001, and OHSAS 18001:2007 covering the Services of Technology Driven Truck Aggregation, Transportation and Third-Party Logistics (3PL). As part of the certifications, the company has adopted an Environment Policy, a Quality Policy, and a Health & Safety Policy. As required by the certification standards, TruKKer developed a Quality, Health, Safety, and Environment (QHSE) Procedure to establish, implement and maintain a procedure for identification of environmental aspects of its activities, processes, services and their impact on the surrounding environment. The QHSE Procedure outlines the scope of application, responsibility, environmental aspects and their impacts, risk evaluation and prioritization, mitigation measures / management programs, evaluation & training. The QHSE Procedure is deemed satisfactory and in line with IFC’s PS1 requirements.

As part of its management system, the company has an ‘Operations Manual’ which sets up the standards for all vendors (truck owners/drivers) and their staff in performing domestic house moving or delivery of cargo under TruKKer’s platform. The Operations Manual addresses key risks and guidelines associated with the company’s operations including: (i) vendor basic compliance, (ii) performance parameters for (a) customer interface, (b) technical operations (before, during, and after delivery); (iii) health & safety standards; (iv) roles and responsibilities for TruKKer representatives and the vendor team.

Going forward, TruKKer will develop a Code of Conduct for its vendors and will include it in the company-vendor contract, and also as part of training during the onboarding process. The company will update its drivers/transporters review process to ensure that registered drivers/transporters on the company’s platform comply with company policies and procedures as set forth in the Code of Conduct, with special emphasis on elimination of labor risks such as child and forced labor, payment of wages and overtime, social security and insurance, working conditions, working hours of drivers, safety requirements and road safety, transport emergency, preventive maintenance of vehicles, use of security, and prohibited activities (ESAP item #1).

Organizational Capacity and Competency: The Vice-President of contracts and compliance and the directors of country operations are responsible for the implementation of TruKKers QHSE Policies and Procedures as well as its Operations Manual. The QHSE Procedure indicates that the QHSE Coordinator is responsible for initiation and monitoring of the QHSE procedure and other E&S related policies.  TruKKer will hire or designate a qualified individual as a QHSE Coordinator at the corporate level to provide oversight and ensure compliance with corporate policies and procedures, and applicable IFC’s requirements in the countries of operations. The QHSE Coordinator will update and align company’s policies and procedures with IFC Performance Standards. The company will also provide IFC with periodical updates about internal and external E&S trainings for the QHSE Coordinator and company’s relevant staff in the countries of operation (ESAP Item #2).

For its vendors, TruKKer has a well-developed onboarding process which includes both administrative requirements verification and training.  While TruKKer has no direct employment contracts with vendors, the training is required to ensure a standardized high-quality service, which also addresses safety risks. The company conducts an onboarding training undertaken by the operations team for the drivers which outlines customer interface, driver’s behavior, and safety measures. As indicated above under ESAP item #1, the onboarding process will include training on company’s Code of Conduct.

Monitoring: Vendors are required to subscribe to a GPS vehicle tracking services and a Call & Check process with TruKKer. The GPS allows the company and end client to monitor the truck across the various stages of the delivery trip. It provides an ongoing communication and monitoring system of driver location, predict delivery, delays and if a truck stops due to mechanical problems or other issues. The GPS system also allows both the company to monitoring drivers and cargo by tracking truck speed and routes. The company will monitor working hours of the drivers. The company will ensure that compliance with E&S performance is monitored and reported. TruKKer indicated that to date accidents concerning its vendors and operations are not recorded. Going forward, under ESAP action #3, safety performance (accidents/incidents) and safety statistics of the vendors registered in the platform will be collected, monitored and evaluated.

TruKKer undertakes spot checks and quality control on state of the truck and safety. Random inspections of the registered vehicles are carried out to ensure compliance with company’s policies and procedures. Where it is identified that drivers and trucks are not in compliance with Trukker’s operational manual and requirements, corrective measures are required. In case of non-compliance with proposed corrective action, drivers are subject to different categories of fines depending on the type of violation (low, medium, high), as set out in the operational manual and guidelines.

Emergency Preparedness and Response Plan: While the GPS system is available for monitoring purposes, working hours of the drivers operating under the platform are not monitored and there are no documented procedures delineating emergency preparedness and response.

TruKKer will update its Operations Manual to include an Emergency Preparedness and Response Plan (ESAP item # 3). 

  Working conditions and terms of employment

Direct Employees: TruKKer has about 60 employees representing the different managerial, technical and support teams across UAE, KSA and India with about 20% female employees. TruKKer does not have a Human Resources Manual, however the relationship between the company and the employees is outlined in the direct employment contract undertaken as per the format of the Dubai Multi Commodities Centre (DMCC). It provides rules and regulations related to the relationship between the employer and the employees. The contract clauses include terms of employment, renumeration and benefits including medical coverage and insurance, hours and leave, termination, death of employee, governing law and dispute resolution. The employee also signs a Non-compete agreement and a standard Code of Conduct document in line with Government (DMCC) requirements. There is no reference to a grievance mechanism under the term of employment.

TruKKer will develop and implement a human resources policy to ensure operational consistency with IFC Performance Standard 2 for its own employees (ESAP item #4). The HR Manual will include an internal Grievance Mechanism for direct employees. The policy will be included in employment contracts, and will address working conditions, terms of employment, wages and benefits, rights and responsibilities of the employees, policies on grievance, non-discrimination and workplace harassment.

Vendors (Transporters/ Individual Drivers): At the time of IFC’s appraisal, the TruKKer platform was reported to have 4,500 drivers registered. This figure includes both drivers under contracts with cargo delivery companies registered under TruKKer platform and registered independent truck drivers. The vendor agreement with TruKKer is also made according to the format of the DMCC and stipulates the relationship between the company and the vendors. In this respect, the relationship of the vendor with TruKKer is that of a service provider.

The company conducts training for the drivers at the time of their induction, followed by refresher training on a periodical basis. As indicated above, the training includes safety requirements and customer interface and will also include training of the Code of Conduct, developed under ESAP item #1. 

TruKKer will ensure vendor’s compliance with Code of Conduct developed under ESAP item #1, requiring compliance with the labor law legislation, including payments of social security / social welfare benefits to the drivers (i.e. retirement, health insurance, workers’ compensation).  TruKKer will require proofs of compliance from the truck owner. (ESAP item #5). Trukker will also provide a channel to collect feedbacks and grievances by the drivers and communicate them to its vendors (ESAP item #6).

Occupational Health and Safety:

Potential occupational health and safety (OHS) risks for TruKKer employees are limited and related to sedentary work, ergonomics and visual fatigue. TruKKer developed an OHS Hazards Identification & Risk Assessment Tool for its offices. The tool covers OHS related aspects to workplace and identifies OHS aspects related to different activities, services or products, with an associated rating and risk assessment.

 TruKKer does not have resource efficiency and pollution prevention policies but, as described under Performance Standard 1, vehicle owners must submit the vehicle maintenance inspection certificate annually. In addition, as per local law, every vehicle has to undergo health checkup annually at the time of renewal of their registration including vehicle emissions testing.   

 Community Safety: Road safety and risks of accidents affecting both the drivers and the public are key E&S issues and the company recognizes that they need to be managed. TruKKer does not have a specific road safety program involving trucks providing services under the company’s platform. The company will develop a Road Safety Plan (ESAP item #3) and will provide defensive driving training for drivers (ESAP item #7).

Security Personnel: TruKKer does not hire security personnel and does not have any armed security escorting trucks or merchandise.  

   The company has an external communication mechanism placed on its website at https://www.trukker.ae/about-us.html which is the primary channel to receive and record any complaints and grievances that the customers, or any community member may have about the drivers, service quality or safety. The public can contact TruKKer through a chat-line, phone number, or email posted on its website. In addition, TruKKer has developed an online form on its website as a ‘Grievance Redressal Cell’ where its stakeholders can communicate any service issue with the company after placing the order.