When ride-booking apps Uber and Grab announced that they slashed down their private chauffeur service fares pretty generously a couple of weeks ago, folks (including us) were overjoyed. Cheaper trips no matter which service you resort to, and all the more reasons not to flag down a cab anymore.
The National Taxi Association (NTA), of course, wasn’t too happy. Calling it an unsustainable business strategy, they said that the price cuts would affect the private drivers’ earnings and in the long run, could damage the taxi industry and commuters.
NTA executive adviser Ang Hin Kee expressed his concerns to The Sunday Times, stating that a “price war” would lead to both private-hire car drivers and regular cabbies having to do more trips and work longer to earn the same amount.
He pointed out the fact that both Uber and Grab are still taking a 20 percent cut from their drivers despite having slashed fares.
“What checks and balances do we have to ensure that both commuters and drivers are not taken advantage of?” said Ang.
