1/04/2008

Taxi drivers earning more

Today's paper reported that the taxi drivers are actually getting a 10% increase in income. So those who are complaining of a fall in income could be a minority or not working hard enough. There are many sides to a coin. I believe in the official view. They sure have statistics to prove their point. My fear if taxi fare continues to be up. When taxi fare is high relative to MRT and buses, more commuters will switch or some will switch their means of transport. This will give two reasons for MRT and buses to increase their fares as well. They will likely claim that they need to buy more trains and buses or to upgrade their services due to higher demand. Or they will say their prices are too low compare to the taxi fares. Head or tail, the commuters will have to pay more.

12 comments:

Anonymous said...

If it is true that taxi drivers are earning more, then Singaporeans really have to try much harder not to take taxis. Prices will only fall if people show that they are not willing to take taxis at that price. The fact that the rise in earnings is only 10% proves that fewer people are taking cabs, however - because the price rise is much more than that.

So: don't take cabs until prices fall. Just don't. To win this, drivers have to make a loss. If they make a loss, they won't be able to pay their rental. If they can't pay their rental, the taxi firms lose money. If they begin to lose money they will lower fares. It is the only way to win. Don't take taxis in Singapore - ever. (Until prices fall again).

Anonymous said...

I urge all Singapore citizens to BOYCOTT taking taxis. We can only voice with our actions. Don't be soft !

Chua Chin Leng aka redbean said...

eh matilah,

not everyone earning as much as you do lah. our taxi fares are cheap or expensive is relative. what it impt is whether the people using them can afford it with the income they are getting.

you know how much it cost for a mercedes in the US compares to one here? relative lah!

Ⓜatilah $ingapura⚠️ said...

No. It's definitely not "relative" in reality. It is "relative" in the minds of people—and that is highly inaccurate at the best of times.

I'm talking about an OBJECTIVE (hard numbers) comparison of cab fares in developed nations. Taking cabs in S'pore costs less (objectively) and therefore is cheaper. (objectively)

One's level of earnings has fuck all to do with it. You can be on $30k a month and have a huge mortgage, loan payments, kids in expensive universities, alimony payments... and be in a hole. Or one might be earning $2k a month and living at home with one's rich parents who provide everything — and in some cases also give "allowance". (I'm not kidding)

Try to stay relevant redbean ;-)

Chua Chin Leng aka redbean said...

it's relative, it's relative, it's relative.

you need to look at the average income of the people in the city concerned especially those who are using the cabs.

a US citizen's income of US$5k will be comfortable spending a certain percentage of his income on cab. a sp citizen with $5k will be comfortable spending a certain percentage on cab. are the percentage the same?

if the cab cost is US$30 and S$30, maybe we can say about the same. objectively or numerically, we are cheaper when converted to US$. in reality more likely to be same cost. but this is a very simple way of looking at it.

Anonymous said...

According to our nation building newspapers, the drivers are earning more. Please provide the real data, don't talk cock and give general figures. I hope that it is not some state secrets or it will take 56 man years to calculate.

This is not about affordability to take taxi rides, it is the relentless rises in everything (including the ministers' pays). People on the ground felt the impact first hand, some people should sit down and talk to the aunties/uncles trying to make a decent living.

People are at boiling point. And the bloody government is saying that we should just cope with the rises when our salaries remain basically stagnant, while they get their million dollars.

Any increase in prices does not mean that our personal income have also increased.

Ⓜatilah $ingapura⚠️ said...

Redbean cried:

> it's relative, it's relative, it's relative. <

What are you? Fucking five years old? Fancy a so-called grown adult writing like that. Oh the shame...

OK, if you (i.e. your ego) really want(s) it so bad... YOU WIN my dear redbean; hands down!

Chua Chin Leng aka redbean said...

the comfortdelgro spokeswoman said it is 10%. you may want to call her for more numbers.

finally matilah agrees that i win. shiok!

Pkchukiss said...

I disagree with your reasoning that led to the conclusion that MRT and bus services would have an excuse to raise fares based on the fact that more commuters would use their services.

Unlike taxis, bus and MRT fare increases must be submitted to the PTC for approval, and in no way would the reason that they have more customers be accepted for a fare increases. The accepted reason would usually be due to the increased costs of operation, which is usually because the cost of labour, cost of fuel, maintanence, etc. has gone up.

Instead, it would be logical if you argued that bus and MRT companies would apply for fare increases to cover the costs of providing more frequent trains or bus services to the increased number of passengers.

Nevertheless, I do agree that your conclusion may be a valid one. Regardless of what we may think, the PTC maintains an illusion of competition, while granting fare increases to the service providers even when they remain in the black. By doing so, they are not giving these companies the incentives to streamline their own workflow to attempt to reduce costs. After all, if you can ask for, and get a fare raise the moment your profit drops, what incentive do you have to cut out internal inefficiencies?

Chua Chin Leng aka redbean said...

hi pkchukiss,

welcome to the blog.

i would not entirely agree or disagree with you. our logic or way of thinking is that we compare with some reference point that we chose to use. eg is the minister pay. they can get paid very well by just depending on the top earners income even if they don't really perform.

we compare our public transport cost and taxi fares with other cities and justify them as cheap or expensive. likewise we compare hospital fees etc.

it is no longer logical or justifiable by contribution and performance.

inderjit singh and tan khee giap both have pointed these out. the govt has a duty to decide and interfere just like they decide on our cpf money.

Anonymous said...

The 'comfort woman' said that taxi-drivers are earning 10% more now. Hmmm, I hope it does not eventually turn out to mean helping the taxi operators increase their profits like helping the poor with the GST increase.

Chua Chin Leng aka redbean said...

indeed it is. they are helping the taxi drivers to earn more.

funny that the taxi drivers are kpkb and many meetings are being arranged to meet them. and funny that all the organisations said they have not received any official complaints from the taxi drivers.

they are waiting for a black and white letter of complaint to acknowledge that there is a complain.

very familiar. like anything is not feedback until it is posted or sent to the feedback unit : )