Efforts to simplify taxi fare structure ongoing

last SG · 2014-01-28T21:54:49+00:00

Hello, the first day you drive a taxi and become a taxi driver, you are already consider stagnated, not to mention saturation.Dun worry, as I said before, go...

peterpan212 SG

Taxi companies do not care. But any taxi fare hikes will affect us TDs.

Taxi companies do care their taxi business. If there is more than TD take up their supply. Do they need to care? It must be good, otherwise why so many ppl want to be TD.

If fares hikes going to affected many TDs income badly, then many TDs will drop out,. If taxi companies with many taxi not taken up, will they care? Of course.

peterpan212 SG

actually no need to be so complex for the taxi system. some one has to give way for another one will do. LTA should reduce ERP price during peak hours for taxi driver to get in to the CBD area people waiting there should able to get taxi for them. and it is the greedy of LTA to has coe on taxi and do not view it as a public transport. also why people complain so much? because some older taxi drivers has no brain operarting the taxi or think too much.

So complains plus greedy plus no brian mean problems for every body.

Taxi vehicle reduce ERP and no coe. Taxi vehicle rental become a good replacment to own private car or rental vehicle. It makes the situation even worst. What is taxi service? It is a on demand short time rental of private car with chauffeur service. Such service need to price accordingly.

peterpan212 SG

Strange may it sounds, this is true.

Fare hikes is caused by the companies increasing the rental. So TDs will only help to collect money from pax to pay to companies. End of thee day TD earn nothing.

You see the higher flag down for smlj new expensive car models. Pax pay more but the TD also pay more rental. I believe this is root of the problem commuters are facing now.

I will leave it to our resident chief economist KTCLuckLuckLuck or NTA director Mr. Bowah to explain better about this. :)

What u refer is the flag down rate increase due to new taxi model. It is not consider fair hike as it only affected those TDs with the new taxi model. The flag down rate increase is target to cover the increase in taxi rental not TDs income.

New model taxi also come with higher COE. This is translated into higher taxi rental.

In short, the flag down rates increase on new taxi model is not consider as taxi fares hike as it does not impart the all TDs. it is more target to recover the increase in taxi rental cost.

Keepthechange666 SG

How to go back to 2007 level. Now, every cost has increase substantially.

You expect the fares to remain before 2007 level ?

If this is the case, TD income will reduce substantially.

How is it possible to has a significant reduced income in 2007 level to sustain the cost of living today?

Such argument will never stand.

I already stated my points......

Taxi driving got no inflation, but our living standard got.....

If we are back to 2007 standard, cheap rental, low diesel cost, low meter fare, we still need to peng steering like what we are doing now in 2014......

2007, everyday we earn $x dollar, 2014 we still earn the same amount......

So where got reduce in earning?......

But if back to 2007 standard, high rental, high diesel cost, low meter fare, than is against my point of argument already......

If you have gone thru this period before, you will understand more.....

What our taxi industry is going thru is like LPPL, from low rental to higher rental, from low diesel cost to higher diesel cost, from low fare to higher fare.....

Not LPPL than is what?.....

Alvin87a SG

No LPPL lah!

Is LPPL ibet!

peterpan212 SG

I already stated my points......

Taxi driving got no inflation, but our living standard got.....

If we are back to 2007 standard, cheap rental, low diesel cost, low meter fare, we still need to peng steering like what we are doing now in 2014......

2007, everyday we earn $x dollar, 2014 we still earn the same amount......

So where got reduce in earning?......

But if back to 2007 standard, high rental, high diesel cost, low meter fare, than is against my point of argument already......

If you have gone thru this period before, you will understand more.....

What our taxi industry is going thru is like LPPL, from low rental to higher rental, from low diesel cost to higher diesel cost, from low fare to higher fare.....

Not LPPL than is what?.....

Inflation apply everywhere including taxi.What you have said below is inflation?

----------------------------------------------------------------------------------------------------------------------

What our taxi industry is going thru is like LPPL, from low rental to higher rental, from low diesel cost to higher diesel cost, from low fare to higher fare.....

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This is happening everywhere. In short, using your term, inflation is LPPL.

Keepthechange666 SG

My understanding of inflation is persistent increase in the general price index of goods and services over a period of time.....

Yes, taxi industry seem like inflating over the past decade, everything increase......

But inflation also meaning reflecting a reduction in the purchasing power per unit of money, what does this mean?......

Unless we are talking, rental keep going up and our earning getting lesser, lesser each time, which it doesn't happen, in fact, fare was also increase to compensate on this......

Anyway, this is my layman thinking, no right or wrong.....

Happy tio ho.....

bowah SG

Your understand on inflation makes my under cannot stand leh.

Consumer price index or CPI is noted as parallel as inflation index.

Today the 2 main cost of inflation is housing and vehicles, which is human make, not by natural causes. Natural causes usually are natural diseaster that affect a certain group of price hiking leading to inflation, like flood, earthquake, virus…may lead to cost of rice and other food to rise.

However, all these figures and nos are just plain board statistics, to a TD, we must get real, and that is getting the real figures. Inflation thru vehicle and houses had caused a domino effect on all other cost of goods to shoot up, yet with a low increment in profit or wages for working class, there is actually no real profit or wage increases, what increased is washed off by the increase of cost of living.

bowah SG

Inflation is a nos, let say 5% for the year of 2014, meaning given all people in singapore earn equally, to face the cost of living, we will be short of 5%.

If a company increase their employees wages by 5%, and inflation is 5%, there is no real wage increase, meaning lan pa pa lan. employees will still suffer. earn earn only to give back to the society. But if the company increase 8%, then there will be a 3% real wage increase.

So, back to TD, is there a real profit gain for TD?? take i40 at $138 rental, flag down 3.80
Sonata Rental $115, flag down 3.20, both take 20 paxs

Keepthechange666 SG

I know you can write.....

Than limpek earlier earlier post already say that I only talking about taxi industry, not related to any other things......

Purely just taxi, taxi, taxi, taxi, don't tell me about housing or car or woman, ONLY TAXI!.....

Under can stand bo?.....

Elginang SG

if under cannot stand, die liao. Not die, is sad.

bowah SG

I know you can write.....

Than limpek earlier earlier post already say that I only talking about taxi industry, not related to any other things......

Purely just taxi, taxi, taxi, taxi, don't tell me about housing or car or woman, ONLY TAXI!.....

Under can stand bo?.....

Taxi got smlj industrial? and when you want to talk about taxi, paxs, companies and govt will sure be in the picture, not to mention inflation which is national issue, inflation too high, people stop spending, people stop taking taxi, people stop purchasing..the transport industrial that include taxi is like a fabric, we are part of the fabric of the society at large.

bowah SG

If wages dun go up, people cannot spend, people will take less taxi, taxi driver become poorer, their family will also hv to become thrifty in their spending, and when all start to spend less, the economy goes into a spiral downward recession. Therefore, it is critical that wages must go up to offset the inflation, govt know all these in their finger tips, the only issue is that they do not want to make you very rich, and yet not very poor so that you can spend and help to churn the economy.

bowah SG

What they are alway searching is the meridian figure, a figure that will not make your rich nor yao for the day, a figure that can gum gum make your able to breath above the water to survive and drive/work/slog for the rest of your life

Keepthechange666 SG

Arbo I say is my layman thinking.....

If want to mix everything together like Rojak.....

10 years ago peng steering earn $x, 10 years later still earn same $x.....

You guys still don't throw key? Knn si beh ho....

Last time $100 can do lots of wonder, now you got $100 can do what?.....

bowah SG

That is also why keep saying and insisting that in Taxi driving, there is no profit increase, what you earn 10 years ago and now, can be higher, but these are offset by inflation, higher rental and higher cost of living and money shrinkage.

Our money had become in a way become useful in those 3rd world countries whereby their pace of progression are slow.

Now, our govt had come out of a PWM, progressive wage models for workers (workers here meaning all wage earner). But for TD, is there a progressive earning model??

Taxilim88 SG

Company employees are protected by unions and the government i.e.NWC. They set and negotiate for wage increases that take into account price inflation.

Taxi drivers on the other hand are self employed. We are not protected. We do not have the power to set prices (i.e. Taxi fares) for our labour and are therefore more vulnerable to inflation.

Hawkers and restaurant owners are self employed too. But, they have the power to set the price of their goods. If their food is good, they can set a higher price and people will still buy from them. That is the difference.

Inflation benefits the rich and punishes the poor. The rich can hedge their wealth against inflation. The poor have nothing. Inflation creates greater income disparity between the rich and poor and in the process, greater social tension that we are now experiencing..

bowah SG

Company employees are protected by unions and the government i.e.NWC. They set and negotiate for wage increases that take into account price inflation.

Taxi drivers on the other hand are self employed. We are not protected. We do not have the power to set prices (i.e. Taxi fares) for our labour and are therefore more vulnerable to inflation.

NWC is a guideline only, it is not compulsory for company to adopt the guideline set by NWC, and it is a Con Council that end up people on the street are now getting depressive wages against a backdrop of high cost, any salary paid person you talk to them about NWC, they will tell you, fark it, smlj NWC, if good, we will not be suffering, and most will not become TD. TD is not the lower rung of this society, our society comprises of lower poor, higher poor, lower middle class, higher middle class and so on..from lower rich to super rich. TD plainly on Taxi driving alone, fall into the higher class, the higher poor class, those with ah kong fortune not included

bowah SG

In the 90s and 80s or early 2000, inflation is only 0.3 to 0.5%, today we are seeing 3 to 4 or even 5%, could be more than that, but govt dare not put the figure.

Then they, the govt blame it on the housing and car prices, the 2 main cause of high inflation, but knnccb, housing and car prices are control by govt mah…kong lan jiao way

Take for example, for Taxis, due to high COE and higher OMV cost, the rental went up, and to lure hirers, they increased the flag down, TD suck thumb, but to the pax, cost of travelling went up, and paxs include our relatives and our family members taking taxis, so if you are the sole bread winner of the family, your expenditure went up, profit remain same, end up with larger deficit on a already deficit earning

Taxilim88 SG

From employer perspective, NWC good...When Co. negotiate with union for annual wage increase, say follow NWC recommendation of 3%. So union cannot say anything and cannot ask for more..Knn, union chief all government people oso wat...LPPL.

In Singapore, you can be either very poor or very rich. In between, very cham one..

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