Poorly regulated and implemented “e-hailing model” will destroy the conventional taxi industry – cabbies

Big-Blue-Taxi-01

Taxi groups say that the new “e-hailing” model needs to be properly regulated and implemented, or it will result in the death of the conventional taxi industry. The new model will legalise app-based ride sharing services like Uber and Grab.

In a report by The Sun, Big Blue Taxi founder and advisor Datuk Shamsubahrin Ismail said the proposed revamp of the taxi industry, which may begin by the end of 2016, could spell the start of the end for taxi permit holders in the country.

“My fear is that the taxi drivers will give up driving taxis and return the vehicles to us to become Uber drivers,” Shamsubahrin said. Apparently, since January 2016, nearly 80% of taxi drivers have returned their taxis back to the taxi companies due to Uber and Grab’s services.

“When the taxi drivers return the taxis to us (the company), the industry will collapse! Please remember we still need to service the bank loans and other costs,” he added.

uber cash payment

Shamsubahrin also questioned the Land Public Transport Commission’s (SPAD) proposal for taxi companies to adopt a profit-sharing concept or guaranteed percentage of the day’s income for cabbies.

“I want to know how it will be done. Tell me how SPAD can do it? Because right now, for the Blue Taxi drivers, they need to get a minimum of RM350 per day and RM200 per day for budget taxi drivers for them to earn enough to cover the daily cost,” he said.

Meanwhile, Federal Territory and Selangor Taxi Operators Association president Datuk Aslah Abdullah agreed with Shamsubahrin’s standpoint that the “e-hailing” model could destroy conventional taxi companies.

“If that’s what’s been endorsed by the Prime Minister and the special economic committee, then we have to accept. We have to face the reality sooner or later whether we like it or not,” he said.

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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

  • wankj on May 05, 2016 at 9:37 am

    Kenapa abg cronies?…..
    Lutut sudah goyang ka ?….

    Well-loved. Like or Dislike: Thumb up 159 Thumb down 0
    • Buaya on May 05, 2016 at 10:03 am

      Datuk ini bisnes … kena tanggung risiko la. Bukan hanya tunggu spoon-feed aje

      Like or Dislike: Thumb up 46 Thumb down 0
      • Muniandy Periasamy on May 05, 2016 at 2:51 pm

        Datuk, you were convicted of cheating NFC last year. Are you conducting interview in your prison cell?

        Like or Dislike: Thumb up 36 Thumb down 0
        • Pumpkin on May 05, 2016 at 10:31 pm

          Let’s kill the taxi permit holders, and save the taxi drivers….

          Like or Dislike: Thumb up 11 Thumb down 1
    • ProtonGSC on May 05, 2016 at 11:07 am

      Tell this AP crony owner “If you don’t like here, get out from this country”… so similar??? Others AP system owners want to help him? Pity your buddies? or AP system cronies mindset “you die your problem”.

      Like or Dislike: Thumb up 17 Thumb down 0
    • Kiter sapott ride app milek Kak gempal.

      Like or Dislike: Thumb up 1 Thumb down 3
    • Abang Alza Pakai Topi on May 05, 2016 at 12:42 pm

      “Shamsu”..even his name is a typo. His very existence is questionable. What audacity he had to pose such questions. Too much feedlot in his tummy.

      Like or Dislike: Thumb up 3 Thumb down 0
    • Why Not in Jail? on May 05, 2016 at 2:39 pm

      In May 18 of last year, Datuk Shamsubahrin Ismail was sentenced to a total of 73 years’ jail for money-laundering and cheating National Feedlot Corporation (NFCorp). I have no idea why he is running around here and making all sorts of comments.

      Or our Prison system can give free cuti to inmates? why not serving your prison time?

      Like or Dislike: Thumb up 20 Thumb down 0
  • Padan muka. Lama sangat dah sistem AP utk teksi ni menekan pemandu teksi konvensional dan makan duit atas angin

    Well-loved. Like or Dislike: Thumb up 108 Thumb down 1
  • Manny on May 05, 2016 at 9:37 am

    So you are concerned about your survival and you have tons of questions.

    The consumers have a list of questions for you too. Are you ready to answer them?

    How you intend to improve the service of your drivers?
    How will you ensure they will use the meter?
    How will you ensure they will not try to cheat the customer.
    What you intend to do with your cabs? Are you going to upgrade your fleet to newer cars with good air conditioning system?
    How are you going to ensure your drivers will not refuse a pick up due to traffic jam in the other direction?
    How are you going to educate your drivers?
    What KPIs are you going to use to measure the success of all the above?

    Well-loved. Like or Dislike: Thumb up 185 Thumb down 1
    • Muniandy Periasamy on May 05, 2016 at 3:33 pm

      How can he answer all this questions when he is in jail?

      Like or Dislike: Thumb up 9 Thumb down 0
  • rosmah on May 05, 2016 at 9:41 am

    I think he might want to redirect his statement to himself. Taxis company think about making money and squeezing money from the driver. They had to drive old saga iswara wira waja. Please lah buy new fleet of cars. Need regulation from SPAD that old taxi should be banned.

    Well-loved. Like or Dislike: Thumb up 67 Thumb down 0
    • Same 'Hailux' Loo on May 05, 2016 at 12:18 pm

      According to Toyotaik salesman logic, those old and dangerous saga iswara and wira need to be scrapped long time ago and replaced with new fleet of cars that consists of Vios and Innova.

      Like or Dislike: Thumb up 4 Thumb down 0
  • jijon on May 05, 2016 at 9:42 am

    muka mcm nak gaduh..
    its been a long time coming..
    let them suffer..all this while..the public has to suffer for their arrogance

    Well-loved. Like or Dislike: Thumb up 67 Thumb down 1
  • ZacZane on May 05, 2016 at 9:42 am

    The taxi industry business model is obsolete and inefficient. Grab and Uber is the evolution. Taxi permit holding companies should be extinct long ago as they have been leech like middlemen since the beginning of their existence. Taxi driver should be entrepreneurs and have their own individual licences and be masters of their own destiny. If they want to still be in the taxi business, then adapt. If not, go by way of the dodo.

    Well-loved. Like or Dislike: Thumb up 77 Thumb down 0
    • normal_user on May 05, 2016 at 10:28 am

      For those who failed to obtain individual permit, they have to enter into hire purchase agreement with the operators to own & operate their car. And they pay a massive 1.6k monthly instalment for Saga blm.. with maintenance cost also borne by drivers. really untung atas angin for operators. Spad knew this but buat2 tak tahu?

      Like or Dislike: Thumb up 18 Thumb down 0
  • your problem. not ours.
    your debt. not ours.

    Well-loved. Like or Dislike: Thumb up 80 Thumb down 0
  • Still talk-kok-king about govt support for survival where the obvious answer is service quality for survival. Dupe!

    Like or Dislike: Thumb up 33 Thumb down 0
  • james on May 05, 2016 at 9:47 am

    Blue taxi and budget taxi drivers need RM350 and RM250 respectively to cover their daily costs? Amazing how much are these taxi companies making charging the taxi drivers.

    Well-loved. Like or Dislike: Thumb up 62 Thumb down 0
    • Assuming each blue and budget taxi works 20 days a month ( rest on Weekend), for RM 350 and RM 200 per day is to cover their daily cost, means that their commitment to the company is RM 7000 and RM 4000 per month.
      And they are only given saga / persona / waja.

      For that amount of money, better get a new Toyota / Honda then register to Uber / Grab..

      Like or Dislike: Thumb up 26 Thumb down 0
    • Lintah darat on May 05, 2016 at 4:57 pm

      Most of the RM350 and the RM250 is paid to the consortium which make money atas angin. This is called sewa permit. Hisap darah the real taxi drivers who is working on the street. This money will have to be paid to the consortium first, balance after that deduction going to the drivers. How to compete with Uber and Grab like this lah. There are big people who own the permit and sucks all the taxi drivers blood.

      Like or Dislike: Thumb up 15 Thumb down 0
  • FaizalMisman on May 05, 2016 at 9:51 am

    Conventional taxi should be elliminate for 10years ago.

    Like or Dislike: Thumb up 27 Thumb down 0
  • Raykat on May 05, 2016 at 9:53 am

    “My fear is that the taxi drivers will give up driving taxis and return the vehicles to us to become Uber drivers,”

    Oh my fear is that the taxi groups like you will monopolize the industry and people have no choice but to pay higher price to get ordinary if not lousy services from you.

    Well-loved. Like or Dislike: Thumb up 85 Thumb down 1
    • Jeff Lebowski on May 05, 2016 at 10:30 am

      I like this statement. About time there’s competition for better service!

      Like or Dislike: Thumb up 8 Thumb down 0
  • matkampung on May 05, 2016 at 9:58 am

    Dah lama ko kenyang perah keringat pakcik dan atuk bawak teksi. sekarang goyang. Permit kepada syarikat untungkan kroni..kalu pakcik atuz tak sihat, still kena bayo sewa teksi..

    Well-loved. Like or Dislike: Thumb up 72 Thumb down 1
  • waters on May 05, 2016 at 9:59 am

    Kasi bungkus saja la. Fed up of these blood sucking taxi companies.

    Like or Dislike: Thumb up 7 Thumb down 0
  • Nobody owes you an explanation. Like any business, it is demand driven. The question is whether you can provide the service that the public wants.

    And like any business, there shouldn’t be such a thing as a guaranteed survival / profit. You just have to work for it and compete.

    My suggestion is stop looking at SPAD or other people to help you out. Start looking inwards. What can you do to make those taxi stop signing up with Uber? What can you do to ensure those that sign with you can offer good service? I know is a little hard for you that you never have to think about those things before. Well, times have changed.

    Like or Dislike: Thumb up 14 Thumb down 1
  • macromedia on May 05, 2016 at 10:01 am

    bagus la collapse. Now tak eback your very expensive, worn out taxis which you charge drivers at exorbitant price, and force them to take sillyt courses to charge them more assholes. Sendiri sudah cakap sendiri punya issues liao

    Like or Dislike: Thumb up 9 Thumb down 0
  • Mitchel on May 05, 2016 at 10:06 am

    Like I give a ‘F’ about your crappy taxi company

    you guys brought the trouble to yourself and blame better service providers like Uber and GrabCar for your own demise

    Like or Dislike: Thumb up 10 Thumb down 0
  • JasonK on May 05, 2016 at 10:07 am

    What he talking about la, besides those Teksi bully in KL. I see other Teksi driver all ok jeh, making a honest living and also using Taxi apps boosted their income. Only crooks or like would be complaint and this is one of them.

    Like or Dislike: Thumb up 8 Thumb down 0
  • Deadpool on May 05, 2016 at 10:10 am

    if you cannot withstand the competition, please go extinct.
    if you only think of your own pocket, please go extinct.
    if you still try to cheat us, please go to hell.
    taxi? say no to taxi that bunch of fools.

    Like or Dislike: Thumb up 6 Thumb down 0
  • Inilar gerangan orang yang tak nak kerja dan malas tapi nak buat duit cara senang. Kesian pemandu teksi dilayan macam lembu ditarik hidungnya selama ini. Time to cut lose that rope!

    Like or Dislike: Thumb up 9 Thumb down 1
  • Submarine on May 05, 2016 at 10:38 am

    E-hailing or whatever app will not result in the death of the “conventional” taxi industry mister. Rather, it is incompetency, laziness, cheating, bad attitude, rudeness and any other form of bad values that will destroy it. In fact these negative values will destroy any industry, “conventional” or not.

    Like or Dislike: Thumb up 7 Thumb down 0
  • heybadigol (Member) on May 05, 2016 at 10:47 am

    How will e-hailing affect them negatively? Wouldn’t it make it easier for consumers to hail a cab using this app? It also makes it easier for cabbie to know that there is someone hailing them, so they can go to where the consumer is.

    Like or Dislike: Thumb up 4 Thumb down 0
  • SPAD should work with MCMC to stop any access to Uber and Grabcar server. Without access, there will be no more demand for Uber. SPAD have the authority, so why with the double standard between legal taxis and uber illigal taxis??

    Like or Dislike: Thumb up 0 Thumb down 25
  • Tong Sampah on May 05, 2016 at 11:02 am

    how they get the run-down taxi approved by JPJ is another mystery…

    monopolize is only crony survival skill

    Like or Dislike: Thumb up 6 Thumb down 0
  • nabill (Member) on May 05, 2016 at 11:03 am

    That face is very comforting….

    Like or Dislike: Thumb up 0 Thumb down 1
  • C.P.MOHAN on May 05, 2016 at 11:20 am

    Said all along, focus on the ‘system/process’ preventing good customer service or/and moving with the time e.g taxis congregate at hot-spots because of the minimum collection or “cari-makan”. UBER example able to make in-roads (Pun intended) by focusing on customer service and removing/tweaking the ‘system/process’ that jeopardises giving good customer service or/and moving with the time.

    Like or Dislike: Thumb up 2 Thumb down 0
  • Semi-Value (Member) on May 05, 2016 at 11:31 am

    ok, then no need regulation, continue as it is…we still wont use ur taxi

    Like or Dislike: Thumb up 7 Thumb down 0
  • I think this shamsubahrin is the one implicated in the Sharizat NFC fiasco.

    Just look at his face. Cannot be trusted.

    Like or Dislike: Thumb up 7 Thumb down 0
  • keluangman on May 05, 2016 at 12:17 pm

    I urge all taxi drivers to return back all your taxis to these bloodsuckers crony permit holders. And start driving your OWN car with Uber and Grab.

    Let these crony taxi permit holders mofos DIE!

    Like or Dislike: Thumb up 8 Thumb down 0
  • Najib dun gip an F about Tun M’s “legacy”. U sink or swim on ur own. He rather concentrate on Rapid/Prasarana n MRT.

    Like or Dislike: Thumb up 4 Thumb down 2
  • policeman on May 05, 2016 at 12:55 pm

    Dr Evil again.

    Like or Dislike: Thumb up 2 Thumb down 1
  • End of the day for taxi driver finally reach, i had been waiting for a long time, hooray.

    Like or Dislike: Thumb up 6 Thumb down 0
  • Megane on May 05, 2016 at 12:59 pm

    Talking like a true asshole who has been milking the taxi drivers for umpteen years . Taxi drivers should have their own individual permits . They should decide when to drive and rest . If they are sick or have family functions to attend to they should be allowed to do so without worrying about the daily payment to the companies . As of now they are stuck being your slaves and you wonder why they are unkempt , have poor attitude and their taxis are rundown . These companies must be abolished for good . Good riddance .

    Like or Dislike: Thumb up 14 Thumb down 0
  • What is he talking about? I dont see any down side from public perspective. Its look like he more worry about the existence of this leech permit holders.

    Like or Dislike: Thumb up 7 Thumb down 0
  • marklampir on May 05, 2016 at 1:20 pm

    Deyyyy thambi…..Itu hari macam2 kau mintak supaya uber n grabcar legalise macam teksi. Sekarang sudah konar baring pulak. Uber servis yang pakai kenderaan sendiri ingat tak kena bayar loan ke? tol setengah harga ke? minyak ada sunsidi ke? ada guna ngv ke? kepala otak tue jgn letak di kaki.

    Like or Dislike: Thumb up 15 Thumb down 0
  • notataxidriver on May 05, 2016 at 1:47 pm

    If a poorly regulated system can kill something which is already there for eons, then you guys deserve to be replaced for not improving your services

    Like or Dislike: Thumb up 7 Thumb down 0
  • David F on May 05, 2016 at 3:17 pm

    What an absolute load of rubbish. The taxi hailing apps get rid of the bad drivers — the ones who over-charge, rip people off, refuse to go to places where customers want to go, etc. etc. As rating systems become prevalent, they will warn customers about taxi drivers who don’t take care of their cars (come on, how many times have you gotten into a cab in KL, and thought “this is disgusting!”), as well as let drivers rate passengers who are consistently rude, late, etc.

    Places like Bangkok and Kuala Lumpur were an absolute disaster for taxis (well, with the exception of the blue cabs, which are only available in certain areas) before these apps existed.

    People continue to take cabs, even with the apps, and as good things like rating systems (which exist in a lot of other countries are implemented, things will only get better!

    Like or Dislike: Thumb up 5 Thumb down 0
  • Ben Yap on May 05, 2016 at 3:28 pm

    RM200 a day for taxi drivers to cover their cost is easy. uber drivers earn more than that with cheaper fares.

    our mentari said, work hard… if cannot cover, take 2 jobs. morning drive taxi, night become security guard.

    Like or Dislike: Thumb up 4 Thumb down 0
  • frantic on May 05, 2016 at 4:03 pm

    when cronies cannot eat anymore….in Jakarta the taxis are mostly new vios model. Over here in bolehland 20 yrs old taxi also still running around and most of them dont use meter. Now when taxi driver return their cab to the companies baru goyang balls

    Like or Dislike: Thumb up 5 Thumb down 0
  • eGrab on May 05, 2016 at 4:09 pm

    And what is the problem here again?

    Like or Dislike: Thumb up 4 Thumb down 0
  • Beside keep on blaming your competitors jeopardizing your profits. What else can this guy do ?

    How bout start brain storm, what else can you put value to your own company and fight for your taxi drivers to recapture back the market.

    Like or Dislike: Thumb up 2 Thumb down 1
  • You kan sudah ada app sendiri. Apa nak bising lagi?

    Like or Dislike: Thumb up 5 Thumb down 0
  • Whatever business that this type of people venture into, they will form a persatuan untuk memperjuangkan sesuatu …. ada je benda yang hendak diperjuangkan.

    Like or Dislike: Thumb up 4 Thumb down 0
  • Khayrul on May 05, 2016 at 5:46 pm

    That it is what it meant for.the new technology and new wave of business will kill the orthodox taxi services.it is the persatuan jobs to do analysis of how the taxi group should do it right or are they following the trend right.late of doing business analysis is what killing them.dont blame the new business model.it will come eventually as such mobile phones to smartphones.

    Like or Dislike: Thumb up 0 Thumb down 0
  • ikan bilis on May 05, 2016 at 9:48 pm

    next step, gov release individual “taxi” license to individual Uber driver, so Uber car physical condition is regulated, but driver own the permit.

    Like or Dislike: Thumb up 2 Thumb down 0
  • 80% sudah pulang ada lagi 20% ma.. u sudah takut ka datuk? Rm350 – Rm200 perday to cover daily cost? Berapa banyak u cekik datuk?

    Like or Dislike: Thumb up 0 Thumb down 0
  • Bernard on May 07, 2016 at 11:45 pm

    Hope uber and grab employ only civilized , ethical, kind, honest people …and not the contrary.

    Be very careful uber and grab.

    Like or Dislike: Thumb up 3 Thumb down 0
 

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