Highlights
- Taxi industry needs "immediate help" claim operators
- Demands for a support package grow louder
- Some taxi companies reduce network fees
Lakhwinder Singh, a taxi driver and operator based in Melbourne says he hasn’t earned a single cent for more than a month.
The driver-operator who is now struggling to stay afloat says the industry is in dire need of help.
“Every morning I get ready and endlessly wait in my cab for 7 to 8 hours in a hope of making some money but in spite of putting in these long hours I have not picked up one passenger in the last one month. The last passenger I picked up in my taxi was on March 15,” says Mr Singh.
He says the taxi operators have significant running costs and the business doesn’t seem as a viable livelihood option is given the ongoing health crisis.
“How am I going to pay for this business overheads when I have not earned a cent for more than a month now?” he says.
Mr Singh says taxis are classified as must-run services so the government must step up its efforts to support us in these times of hardship.
“The South Australian government just offered financial support their taxi industry and I hope every state comes forward and supports their local taxi industry,” he says.
Amarjit Singh, who has been successfully running a taxi business for more than 20 years, says that these are very “challenging times” for his business.
Amarjit Singh claims that he is working seven days a week to pay off the debt on a taxi license he used to own. Source: Supplied
“The drivers have stopped driving the cabs due to the fear of being affected by this virus. I don’t blame them because even if they go out and stay on the road there is a huge struggle to find the passengers,” he says.
Mr Singh claims he used to own a taxi license which was worth half a million dollars. But the arrival of ride-sharing apps and the subsequent fall in demand for the licences have wiped out their value, but the debt still stands.
Perth-based taxi driver Barinder Singh Bhullar has installed a temporary plastic sheet in his vehicle to protect against the disease. Source: Supplied
“I am working seven days a week to pay off the debt on the taxi license I used to own. The taxi license now doesn’t even exist, but the debt does. How can I repay my debt when there is no income? This is about time for the government to bail us out from this hardship,” adds Mr Singh.
Taxi driver quits industry:
Not only the owner-operators, but taxi drivers are also feeling the pinch.
Perth-based Balwant Singh Dhillon, who has been driving a taxi for the last five years is still in a state of disbelief.
“Individual drivers like me are the most adversely affected. Passenger numbers have plummeted and even after working for approximately 15 hours, I sometimes couldn’t even gross $100,” says Mr Dhillon.
He has now left the taxi industry and switched to Uber Eats to make ends meet at least until the crisis subsides.
“I had no choice but to leave this incredible industry which has supported me during the most struggling days of my life as an international student,” he adds.
But not everyone is without support.
Perth-based Balwant Singh Dhillon has struggled as a taxi driver. He now drives for Uber Eats. Source: Supplied
Some taxi companies such as Silver Top Taxi Service has taken a lead to help the operators and has reduced the network fee by up to 60 per cent per month to help them tide through the tough times.
Another Victorian taxi network provider, Crown Cabs has also announced to cut down the depot fee by 30 per cent for the next two payment cycles.
After initially deferring the collection of part of network fees, 13CABS have now also decided to reduce the network fees during this coronavirus period till the operation returns to normal.
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