Stiff competition from Uber, taxi drivers told to upgrade services - Taxi Association

Friendly drivers and comfort are some of the reasons why many still prefer to choose the services rendered by Uber, despite it not having the required permits in accordance to local transportation laws.

Federal Territory and Selangor Taxi Operators Association president Datuk Aslah Abdullah said taxi drivers in the country could take a cue from Uber as quality of service remains a priority for the public.

“The Uber service should be an eye-opener for taxi drivers. With Uber, they have a car waiting for them, the drivers are friendly and maybe there’s a mineral water for them in the car. It is also more comfortable. People like that.

“The problem with some of our taxi drivers here is that they won’t even look at their passengers. We need their money, there is nothing wrong with being friendly to them,” he said when contacted by Astro AWANI.

Aslah said he has received several complaints by taxi drivers griping over the services provided by Uber. One of the complaints made was that they are unable to “cari makan” (earn money).

He also said that efforts and a change in attitude would mirror the quality of services provided by the taxi drivers in the country.

“Some would ask the passengers where they are going and how much they are willing to pay. Some would reject passengers due to traffic jam. But if they do their job right, pick-up passengers and provide good service, then they’re able to earn a good amount of money.

“If they do not reject passengers and put in the hours, they are able to earn at least RM100 a day and that is after paying the daily fee of RM40 to RM50 to taxi companies,” he said.

Aslah also acknowledged that it is easy to obtain a Public Service Vehicle (PSV) driving licence in Malaysia.

Despite the large number of taxi drivers in the country, Aslah said many of them remain unprofessional in their duty.

“Some of our taxi drivers here are like 'Touch ‘n Go'. If they do not have any job then they decide to be taxi drivers. For some, it's just a temporary job,” he said.

When asked to comment on the presence of Uber in this country, Aslah said there are no qualms for it to operate in Malaysia, but he wants the vehicles and drivers to adhere to the standards set by the Land Public Transport Commission (SPAD) and Road Transport Department (JPJ).

“Uber uses private cars which may not have the permit to operate as a public transportation and its drivers do not have the PSV driving licence. This is a concern, especially in terms of safety, if anything would happen on the road,” he said.

Aslah's other concern was on Uber’s fares which does not adhere to the taxi fare structure approved by SPAD.

Meanwhile, Astro AWANI contacted a taxi driver and former entrepreneur, Suresh, who outlined why taxi drivers are griping over Uber’s service.

“The company is able to earn more providing a cheaper service as compared to budget taxis because the latter have to pay a deposit and rent without a daily fixed income.

“Secondly, Uber offers a niche market with a competitive price which can affect the budget taxis which caters to the mass market,” he said.

Suresh added that the different fare rates was also an issue.

“For budget taxis, the fare is fixed by the government and should be followed. Uber’s fares are fixed by the company, and they’re able to manipulate the price as they like. For example, if you want to go KLCC from Bangsar after midnight, an executive taxi like Naza Citra you will have to pay more than RM22.

“Whereas the Uber taxi service for the same trip will use a Mercedes car. It is more comfortable and you do not have to interact with the driver (as payment will be made by credit card before boarding), and you only need to pay RM18.

“Certainly, as a consumer, this is a good thing because the consumer gets the best service with low price, or so-called 'great bargain',” said Suresh.

It has been recently reported that a German regional court has issued a temporary injunction against Uber as its drivers lacked the necessary commercial licenses to pick up passengers.

However, a spokesman for the company based in Frankfurt said Uber will continue its operation despite the injunction.

The company also responded in a statement that it planned to appeal the court’s decision.