Entitled Taxis of Essen Cry Out: Restore Minimum Rates to Compete Fairly Against Ride-Hailing Giants
Taxi drivers in Essen advocate for mandatory minimum fares to level competition among cab services. - Taxi drivers in Essen push for mandatory minimum fares to maintain competition standards
In a loud display of dissent, Essen taxi drivers sound their horns in a rhythmic concert and form a long line of waiting cabs, demanding regulation of their rental car competitors like Uber. Their battle cry echoes through the city center: "Stop Social Dumping - Minimum Prices Now." Approximately 140 individuals join the fight, driving in around 110 taxis, as per police estimates. Witnessing this protest, a bustling street near the town hall had to be temporarily closed.
The influx of rental cars from agencies such as Uber or Bolt in the city has skyrocketed, offering rides at 30 to 40 percent less than the taxi fares set by the city, explained Dirk Schäfer, a spokesperson for the Taxi Essen association. Decrying the current state of affairs, Schäfer called for minimum fares to be implemented equally among rental cars, along with a cap on their numbers.
The taxi business is burdened by local taxes and forms a crucial part of public transportation, Schäfer added. As entrepreneurs, taxi drivers follow various regulations, such as minimum wage. In contrast, rental car drivers receive fixed prices from international platforms, which remain unregulated and thus cheap—though they can skyrocket during high-demand periods, like during trade fairs, according to Schäfer.
Recurrently, particularly during trade fair seasons, Uber drivers from outside the city are on the roads, making it arduous for Essen taxi services to sustain the competition, Schäfer asserted. As it stands, not all 620 available taxi licenses in the city are in use, with just about 420 active taxis operating in Essen.
A 65-year-old driver, who has been operating independently for many years, lamented that his income has dipped by around 30 percent in the past one to two years. "They work for ten hours for 120 euros—that's below the minimum wage," Schäfer stated.
A city representative confirmed that the municipality also advocates for minimum fares for rental cars. However, to ensure any legislation is legally sound, a study has been commissioned. Intermittent checks for violations, such as those by drivers from other cities, do occur, particularly during major events in Essen.
- The community policy should include regulations for rental car competitors like Uber and Bolt, as Essen taxi drivers demand minimum prices to compete fairly.
- Taxi drivers in Essen, who are subject to local taxes and employ people under minimum wage regulations, are struggling to compete with rental car drivers who receive unregulated and cheap fixed prices from international platforms like Uber.
- In the upcoming study, the municipality of Essen will investigate the implementation of minimum fares for rental cars, following the advocacy by the taxi business.
- Despite the struggles faced by the taxi industry, some drivers are forced to work long hours for wages below the minimum wage, as highlighted by Dirk Schäfer, a spokesperson for the Taxi Essen association.