Abstract
This paper investigates different types of bus drivers' salary structures built in the design of contracts between bus operators and bus drivers in urban bus transport markets of developing countries to address their impacts on divergent drivers' behavior that consequently determine bus safety and service level of bus operation. How divergent drivers' behavior evolves from different types of salary systems under urban bus environment and their possible impacts on service level of bus operation are identified. Possible advantages and disadvantages of each salary system from the perspective of bus operators, passengers, and social issues are discussed. Finally, this paper gives basic recommendations to improve the driver efficiency for better safety and quality of services, in particular for Yangon city, former capital of Myanmar.