Thursday, February 2, 2023

Taxi Drivers Are Struggling To Cope With Disruptions Brought By E-Hailing Services

Social NewsTaxi Drivers Are Struggling To Cope With Disruptions Brought By E-Hailing Services

The ride hailing industry had been serious affected ever since e-hailing was first introduced to the Malaysian market.

As e-hailing is gradually gaining popularity and becomes the common app that most Malaysian uses, taxi drivers who failed to adapt to these changes found themselves struggling and their situation had worsen since the past few years.

According to Kosmo, a taxi association member in Shah Alam known as Abdul Rahim had revealed that most taxi drivers and operators strive to earn between RM50 to RM60 a day.

“I don’t know how long I can survive. It’s hard to get RM50 a day. Last time, we used to be able to earn RM200 to RM300 a day. On weekdays, we earn more because more people would go out shopping or sightseeing.” he said.

Source: Malay Mail

Commenting on the taxi industry before e-hailing was being introduced, Abdul Rahim said many taxi drivers had paid several thousands ringgit as deposit for taking delivery of a new cab from taxi companies.

He said that many had signed the rental-purchase agreement without fully understanding the contract and its commitments. The situation is made more complicated by the method of calculating monthly installments based on daily rates.

Source: Malay Mail

As a result, taxi drivers are not able to afford the car installment, or even the association fees. The situation then worsened when the Covid-19 pandemic strikes Malaysia.

“At times, they could only earn less than RM30 a day, and there are days when there is no income at all. Many of my friends had to hand back their cabs to taxi companies and switch to other jobs, such as truck and bus drivers, to survive.” he said.

Abdul Rahim added that his association had almost 50 taxi drivers, but they were down to 23 people now.

Meanwhile, another taxi driver in Subang Jaya known as Rahmat said his income dropped over 50% to 70% since the past few years.

“Many of my friends have switched to e-hailing. But for those as old as me, wanting to use a smartphone is also ‘complicated’. After all, to join e-hailing, there needs to be a new vehicle.”

Rahmat then said that he will continue to drive the taxi as long as his taxi can still move and has passengers, despite it being not as ‘lively’ as before.

Nonetheless, it is worth noting that the government has continue to help out taxi drivers from time to time, but the aid provided does not change the fact that taxis are gradually being phased out by e-hailing services.

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