Taxi drivers say ridesharing services erode their income, encouraging more to join illegal taxi service

KL06_181115_PEMANDU_TEKSI

Taxi drivers are claiming that the continued existence of ridesharing services like Uber and GrabCar in Malaysia have affected their income. They also claim that the services encourage the rise in the number of illegal taxi operators in the country as well.

Speaking to Bernama, Klang Valley Taxi Drivers Action Committee chairman Zailani Isausuludin said that those who provided these ridesharing services operated without the proper permits or licence to do so, thus making them illegal.

He claimed that even university students, who only possessed a ‘P’ licence, ferried passengers as a source of side income using the Uber and GrabCar apps. Licensed taxi drivers are required to possess a Public Service Vehicle (PSV) driving licence and a taxi permit for their vehicles.

Zailani urged the authorities to do more in tackling these ridesharing services which he says are clearly not in accordance with Malaysian public transport standards. Failure to do so could see licensed taxi drivers cross over to become “illegal taxi drivers” in order to cope with the high cost of operating a taxi.

KL04_181115_PEMANDU_TEKSI

He claims that taxi drivers had to fork out over RM30,000 a year in order to renew their driver’s licence, going for annual medical check-up, paying the taxi rental fees, renewing taxi permits and maintaining their vehicles. They are also required to send their vehicles for Puspakom inspections twice a year to verify that their vehicles are road-worthy and safe.

As most taxi drivers source their vehicles from companies who hold taxi permits, they have to pay a deposit of over RM6,000 in order to secure a taxi for use. In addition, they are also required to pay a daily rental fee of between RM57 to RM65 daily.

“If taxi drivers are unable to work due to illness, the rental payments still have to be made. If no payment is made within 14 days, the taxis will be seized by the company and the deposit, forfeited,” said Zailani.

With that in mind, Zailani urged government agencies including the Land Public Transport Commission (SPAD), Road Transport Department (JPJ), Royal Malaysian Police (PDRM), Malaysian Communications and Multimedia Commission (MCMC) and Kuala Lumpur City Hall (DBKL) to act decisively against these ridesharing services.

uber-x-car

It also wants the MCMC to ban the mobile apps which offer such services (Uber, GrabCar, etc.). Currently, these apps are deemed service matching providers, and therefore legal by the MCMC. Recently, a report claims that SPAD is in the midst of introducing amendments to the Land Public Transport Act 2010 that could allow them to take direct action against these mobile app providers.

Federal Territory and Selangor Taxi Operators Association president Datuk Aslah Abdullah, also shared his thoughts on illegal taxi, saying that the issue needs to be settled quickly as public safety is of a concern.

“Illegal taxi services should be stopped as it does not ensure safety of passengers in the event of accidents, even more if it involves fatalities. A licensed taxi driver will ensure that legal aspects of the safety of passengers is at an optimum level. How can we guarantee passenger safety if this service without permit undergoes Puspakom inspection and verification,” he said.

What are your thoughts on the matter? Should the authorities do something to alleviate the financial burden placed on taxi drivers? Do ridesharing services like Uber and GrabCar have a place in Malaysia? Let us know in the comments section below.

Looking to sell your car? Sell it with Carro.

Certified Pre-Owned - 1 Year Warranty

10% discount when you renew your car insurance

Compare prices between different insurer providers and use the promo code 'PAULTAN10' when you make your payment to save the most on your car insurance renewal compared to other competing services.

Car Insurance

Gerard Lye

Originating from the corporate world with a background in finance and economics, Gerard’s strong love for cars led him to take the plunge into the automotive media industry. It was only then did he realise that there are more things to a car than just horsepower count.

 

Comments

  • mr cyclone on Nov 25, 2015 at 1:00 pm

    they should improve their service quality rather than ampu2 bodek jilat mr PM..

    Well-loved. Like or Dislike: Thumb up 53 Thumb down 0
    • Same L0rrrr on Nov 25, 2015 at 1:27 pm

      They can’t deliver good services and survive in the market, they sit there crying and waiting for help, like what Proton is doing now.

      Like or Dislike: Thumb up 28 Thumb down 9
      • I love PM??? The loan-shark of the cabbie system should be blamed!

        Like or Dislike: Thumb up 20 Thumb down 1
        • Zailani Isausuludin on Nov 25, 2015 at 2:59 pm

          Saya mengaku saya dan rakan rakan saya adalah malas. Kami suka parking teksi bawah pokok dan makan nasi lemak sampai berjam jam. Lepas makan nasi lemak pada pul 9am, kami tidur sampai 1pm. Masa itu sudah sampai waktu lunch.

          1pm kami makan lauk lemak bersama ketupat. Lepas lunch kami tidur juga bawah pokok sampai pukul 3. Pukul 3 kami kerja sampai pukul 6pm

          Like or Dislike: Thumb up 19 Thumb down 1
          • i no la on Nov 25, 2015 at 8:51 pm

            Dapat permit teksi one zizah binti rafizi kasi,tesi dah habis bayar wang epf 300k.atau askar pencen.

            Like or Dislike: Thumb up 0 Thumb down 1
        • I pity them at first, once i see they loge PM, sorry.

          Like or Dislike: Thumb up 3 Thumb down 0
      • SPAD is the Problem on Nov 25, 2015 at 2:54 pm

        Actually, the big problem is SPAD. SPAD is allowing all this protest to go on. Why? Very simple.

        SPAD’s chairman Albar’s wife owns many teksi companies. When Uber and Grabcar came into Malaysia, her companies lost a lot of money and is losing a lot of money.

        So, SPAD, as any husband who is scared of his wife would do, quickly ban Uber and ban Grabcar.

        You see, in Malaysia, there is no such thing as CONFLICT OF INTEREST.

        SPAD is now closing an eye to all this violence and protest because Albar’s wife is not happy with slow business.

        All these violence is approved by SPAD. Infact, it is indirectly sanctioned by SPAD.

        Don’t forget, besides Albar’s wife, ALL the licenses for companies running cabs are all owned by UMNO big boys.

        Nobody can touch them la

        Like or Dislike: Thumb up 24 Thumb down 3
        • Datuk Aslah Abdullah on Nov 25, 2015 at 3:49 pm

          Saya harap kerajaan akan tolong kami sambil kami tolong kerajaan dengan undi kami.

          BN bagus! Percayalah dengan BN! BN adalah jujur macam pemandu teksi kami!

          Like or Dislike: Thumb up 0 Thumb down 18
        • ben yap on Nov 25, 2015 at 5:41 pm

          my guesses are always right that you will post the same thing. LOL… so predictable.

          Like or Dislike: Thumb up 0 Thumb down 1
        • How many times u want to repost this

          Like or Dislike: Thumb up 0 Thumb down 0
  • That is the stupidest reason ever.

    Like or Dislike: Thumb up 19 Thumb down 0
    • Zailani Isausuludin on Nov 25, 2015 at 3:35 pm

      Siapa ko call stupid?? Kami pemandu semua pandai belaka

      Like or Dislike: Thumb up 1 Thumb down 12
  • at least the “P” drivers are working to earn money, not snatching and protesting.

    Like or Dislike: Thumb up 30 Thumb down 0
    • Zailani Isausuludin on Nov 25, 2015 at 3:41 pm

      P drivers don’t know all the spa and massage parlours. We teksi drivers know all the borthels, spa and massage parlours and we can recommend to our passengers good service where can get.

      Like or Dislike: Thumb up 11 Thumb down 0
      • camtakpro on Nov 26, 2015 at 4:27 pm

        Even that and still cannot make money under SPAD?!
        SPAD must be songlaping you guys. Proton Saga rental RM1500 per month?

        Like or Dislike: Thumb up 0 Thumb down 0
  • Consumer on Nov 25, 2015 at 1:16 pm

    We do not need apps base ride sharing like Uber/Grabcar if they really fix whatever the consumers want.

    Like or Dislike: Thumb up 18 Thumb down 0
  • nabill (Member) on Nov 25, 2015 at 1:21 pm

    try and stop us!

    Like or Dislike: Thumb up 11 Thumb down 0
  • Nigel on Nov 25, 2015 at 1:28 pm

    ridesharing is the future norm. Malaysia needs to move on and do away with all those fees and permits which does not adds more value.

    Like or Dislike: Thumb up 20 Thumb down 0
  • Funny Money on Nov 25, 2015 at 1:33 pm

    “He claims that taxi drivers had to fork out over RM30,000 a year in order to renew their driver’s licence, going for annual medical check-up, paying the taxi rental fees, renewing taxi permits and maintaining their vehicles.”

    Please itemise it. I would like to know how much of it goes to taxi rental fees, renew taxi permits and maintainining their vehicles.

    Like or Dislike: Thumb up 19 Thumb down 0
    • labix7 on Nov 25, 2015 at 2:44 pm

      maybe its true ..
      30k/year = 2.5k/month. some taxi driver have to pay rm60-65 daily for taxi rental & permit. so about 1.8-1.9k/month. then balance for maintenance etc ..

      Like or Dislike: Thumb up 1 Thumb down 0
      • Teksi Drivers Big Liars on Nov 25, 2015 at 3:46 pm

        My friend teksi driver managed to send his 2 kids to study law in the United Kingdom last year. Sole income from him alone. Wife not working and no inheritance.

        Teksi drivers are just greedy liars

        Like or Dislike: Thumb up 11 Thumb down 1
        • malaysia on Nov 25, 2015 at 11:16 pm

          i m guessing either ur taxi driver friends are really a big liar

          or

          he is unlikely the hooligan taxi drivers who only know how to protest instead of hardworking

          Like or Dislike: Thumb up 2 Thumb down 0
  • Gargantia on Nov 25, 2015 at 1:39 pm

    First can the Taxi drivers and Department in charge change all the b-segment taxi in Malaysia to a proper D-segment taxi like around the world?!!! Yet outdated and cheating they still asking for more tongkat…

    Like or Dislike: Thumb up 2 Thumb down 1
    • It’s fine with B or C segment. But at least newer taxi with clean interior. No cheating around.

      Like or Dislike: Thumb up 2 Thumb down 0
  • Gua cam muka kaki2 protes nie langsung x pakai meter.
    Lokap mereka dulu!

    Like or Dislike: Thumb up 13 Thumb down 0
  • siapayangtipu on Nov 25, 2015 at 1:50 pm

    Kamu semua tak faham. Kami driver teksi susah cari makan. Kami ada lesen. Uber tak ada lesen. Siapa yang salah? Siapa yang tipu? Cakap inggeris macam pandai sangat. Konon lah.

    Like or Dislike: Thumb up 1 Thumb down 33
    • kami memang tak faham mengapa tak gugurkan lesen dan sertai uber. tak fasih inggeris tu salah sendiri.

      u yang tak tahu menaikkan taraf sendiri.

      tak dapat berak, nak salahkan lantai pulak.

      Like or Dislike: Thumb up 30 Thumb down 0
    • labix7 on Nov 25, 2015 at 2:41 pm

      sebelum kamu mahu marah uber .. lebih baik kamu marah syarikat yg bolot banyak permit teksi tu. Kamu kerja penat2 tapi kena bayar duit sewa/beli teksi yg tinggi pd syarikat. Kenapa kamu tak minta pd kerajaan bg permit sewa/beli teksi terus kpd individu shj.

      Like or Dislike: Thumb up 28 Thumb down 0
    • isengard12 on Nov 25, 2015 at 2:56 pm

      Ini semua salah polisi.. Kenapalah lesen tidak diberikan terus kepada pemandu teksi sendiri? Kenapa? Kenapa? Kenapa kena bagi permit/lesen kepada syarikat kroni?

      Like or Dislike: Thumb up 8 Thumb down 1
    • wuttaheck on Nov 25, 2015 at 5:36 pm

      kalau servis tip top, tak kencing orang, pakai meter, org tak cari alternatif la bro.

      Like or Dislike: Thumb up 6 Thumb down 0
  • medic on Nov 25, 2015 at 2:13 pm

    If the cost to drive a taxi is so high,why don’t you just join Uber/Grab car?I’m sure if you’re honest & work hard,you’ll earn well enough.I tak faham apa u org protes?

    Like or Dislike: Thumb up 30 Thumb down 1
  • Taxi driver wannabe on Nov 25, 2015 at 2:33 pm

    If taxi driver thinks grabcar/uber ride sharing apps is so easy and less cost, the solution is open for taxi driver to jump/upgrade to grabcar/uber. So I think the matter is not 100% on taxi driver itself, its the taxi company that struggle and ask these ppl to protest for them. How smart.

    Like or Dislike: Thumb up 16 Thumb down 0
  • cy Lok on Nov 25, 2015 at 2:40 pm

    The Taxi driver should not waste their effort on this, instead they should join Uber and they can safe RM30k a year for maintaining their old and dirty Saga.

    They spell it out themselves…. they need RM30k, so why not choose another that doesnt required you to paid so much more?

    Like or Dislike: Thumb up 16 Thumb down 0
    • Zailani Isausuludin on Nov 25, 2015 at 3:33 pm

      Habis macam mana nak support UMNO? Inilah cara kami bagi sokongan kepada tuan kami yang pegang lesen teksi.

      Like or Dislike: Thumb up 5 Thumb down 0
  • onekj on Nov 25, 2015 at 2:49 pm

    TEksi reban ayam…..

    Like or Dislike: Thumb up 0 Thumb down 0
  • onekj on Nov 25, 2015 at 2:50 pm

    Teksi reban….

    Like or Dislike: Thumb up 0 Thumb down 0
  • Derrick on Nov 25, 2015 at 3:00 pm

    With this arrogant attitude, better boycott all local taxi!

    Like or Dislike: Thumb up 3 Thumb down 0
  • Niazi on Nov 25, 2015 at 3:25 pm

    Anak haram talking about haram vomit blood

    Like or Dislike: Thumb up 0 Thumb down 0
  • Bomoh on Nov 25, 2015 at 3:57 pm

    Aiya Taxi uncle just join Uber and no need so troublesome renew all those crony license, problem solved.

    Like or Dislike: Thumb up 4 Thumb down 0
  • bujang on Nov 25, 2015 at 4:36 pm

    kerana nila setitik rosak susu sebelanga

    Like or Dislike: Thumb up 0 Thumb down 0
  • Crasher7 on Nov 25, 2015 at 4:43 pm

    How about:
    1. Change your business model to adapt to a new competitive environment?
    2. Demand the government to your lower taxi licenses, maintenance fees, taxi rental fees?!
    3. Most importantly, how about improving your service?!

    A lot of cities’ taxi drivers face competition from Uber too, what do they do? They adapt! Stop riot on the streets and cause troubles!

    Like or Dislike: Thumb up 4 Thumb down 0
  • “…Ride sharing apps eroded their income…”

    What a cheap statement to make without any stats or prove to substantiate the words.

    I, for one wont be taking taxi anyway if there is no Uber.

    Malaysia has enough of protection for substandard product and services…. Yes, Proton, i am looking at you. The last thing we need is to protect a taxi service that is ranked the worst in the world, and that’s a fact.

    What government should do is progressively legalise the Ride Sharing, not eliminate them.

    Like or Dislike: Thumb up 3 Thumb down 0
  • My friend from Bangkok transferred to KL since last month. And has been complaining our taxi service and not using meter.

    Then i told him why not try UBER or Grabcar. ;)

    Like or Dislike: Thumb up 5 Thumb down 0
  • saladin on Nov 25, 2015 at 5:43 pm

    Senang cite pemandu teksi semua pulangkn balik teksi dekat oprator. Ambik blk deposit rm6k buat downpayment honda city. Byr bulan-bulan rm700-800 . Join uber/ grab car. Bagi semua operator taxi bungkus. Sekian terima kasih.

    Like or Dislike: Thumb up 9 Thumb down 0
  • Taximan on Nov 25, 2015 at 6:22 pm

    Hapuskan semua jenis pengangkutan awam termasuk Hop In free bus shuttle, LRT, RapidBus jangan ganggu kita cali makan dan kawin lebih

    Like or Dislike: Thumb up 3 Thumb down 0
  • i no la on Nov 25, 2015 at 6:44 pm

    How to destroy uber grap car. Guna kereta kancil auto sebagai teksi . Harga rm 15000, tambang reduce 30%, atas, kancil buat ruang letak beg , 2 person 1 budak tapi awas berat badan 60 kg bawah.eyz maa, kalau kancil rm 10000 menggelupor uber grab car

    Like or Dislike: Thumb up 0 Thumb down 0
  • Wayang Kulit Man on Nov 25, 2015 at 9:11 pm

    Taxi drivers can’t complete in the real world.
    Taxi drivers cry baby becoz cannot cari makan.

    worst….

    Taxi drivers blame others for their undoing and laziness.

    Only in Malaysia we have such stupid, shameless taxi drivers.

    Like or Dislike: Thumb up 2 Thumb down 0
  • Nasi lemak 2.0 on Nov 25, 2015 at 9:47 pm

    I love Uber and Grabcar.. Awesome services… You know why? Coz its not managed by nasi lemak! Simple as that!

    Like or Dislike: Thumb up 1 Thumb down 0
  • Keith Chiang on Nov 27, 2015 at 4:57 pm

    Went through medical check-up? Send taxi for maintenance? Road-worthy and safe? You sure bo?

    From what I can see many of the taxi drivers are of senior citizen and some of them have slow response. Some drives as if the roads belong to their father. Some switches lane without warning, make illegal turns, stop in the middle of the road just to get passenger.

    Safe my foot!

    Like or Dislike: Thumb up 0 Thumb down 0
  • Raker on Nov 28, 2015 at 9:05 am

    I don’t think some of their comments really valid. Rental equate to loan for some people in uber /grap, the different is their costs of loan higher when compare to taxi which significant lower. The issue here is inconsistent service, ill manners and price hagling. If the taxi service is efficient and pleasant for the customer, will there be a lot of opportunity for Uber/grap?

    Like or Dislike: Thumb up 0 Thumb down 0
 

Add a comment

required

required