Media release
13 September 2019

This week, Nine Network’s ‘A Current Affair’ (ACA) investigation, comparing uberX and taxis, revealed yet more underhanded tactics being employed to dupe consumers into thinking uberX is cheaper than taxis.

Since entering the Australian market illegally back in 2014, Uber has been pitching to consumers that it is a cheaper and as safe option compared to taxis. The ACA report throws new light on those claims with Uber outed for quoting taxi fares at amounts far higher than would normally be outside of the Uber app.

In Sydney, Uber can charge any price a customer is willing to pay for taxis booked through their app because there are no maximum fares for booked services.

CEO of the Australian Taxi Industry Association (ATIA) Blair Davies, says anyone comparing prices between uberX and a taxi via the Uber app will be completely misled.

“Uber has been touting itself as a low-cost provider to win over consumers, but it looks like the unwary are being taken for a ride,” said Mr Davies.

“The hands-off approach to regulation by State Governments has played right into the hands of ridesourcing platforms, allowing them to market their services in ways that prey on the naivety of some customers. It’s bad news for consumers because they can’t be expected to make informed choices when they’re being mislead with inaccurate information.

“Uber has been outed in an ACA report this week for presenting grossly inflated taxi fares in its app. The average punter looking at their app would think they are going to save a lot of money booking an uberX rather than a taxi, but it turned out that taxis hired outside Uber’s app were cheaper than the quoted uberX price.”

The industry warns this is another case of “buyer beware” and so consumers should use a taxi app to get a reliable quote or estimation of the cost of a taxi.

The ATIA fears that other platforms could also try to game the rules if regulators continue to stand on the sidelines.

The ATIA will be writing to the Australian Competition and Consumer Commission (ACCC) calling on them to investigate the allegations in the ACA report.

“The taxi industry simply wants the opportunity to compete for customers on a level playing field,” continued Mr Davies.

“We have no intention of going quietly into the night on this issue. Taxis will continue competing for customers by providing safe, reliable and cost-effective services. Just as the taxi industry have had to step up our game, we also need regulators like the ACCC to step up as well and do a much better job of keeping the playing field level for everyone.”

-ENDS-

Media release
August 02, 2019

The Royal Queensland Show (Ekka) is a highlight in the Brisbane events’ calendar, attracting on average 400,000 people from across the State and beyond. However, as throngs of people brave winter westerlies and the flu to enjoy the Show this year, Queensland’s peak taxi industry body fears that many with mobility challenges will be severely disadvantaged by the relocation of the taxi rank far away from the main entrance.

The Taxi Council of Queensland (TCQ) believes the RNA simply has not thought through their decision to move the Ekka rank from Costin Street near Gate 1 over into O’Connell Terrace. The RNA’s plan appears only half baked with the new taxi rank location near Gate 5 not even included on the official 2019 Ekka map published on the Ekka website. It is a significant concern for TCQ because taxi customers will likely be heading out of the main entrance at the end of their day looking to grab a cab at the nearby rank, as they have done for years, only to find they then have to go back all the way over to the O’Connell Terrace exit. It is not the news that mums and dads with young children in tow and armfuls of show bags will be wanting to hear at the end of the day.

TCQ CEO, Blair Davies says the RNA also seems to have ignored the rights of people with disability to conveniently catch a cab from a taxi rank like anyone else in the community. The Gate 5 location is a considerable distance from the main entrance and getting there will involve traversing uneven ground and inclines. That may be of little concern for anyone who is young and fit, but it’s a huge deal for the elderly and for people with disability, especially those using wheelchairs.

“We’re disappointed for all our customers, but especially those who use wheelchairs or have other mobility challenges. Moving the rank from outside the main entrance over to O’Connell Terrance will be particularly challenging for them. It puts obstacles of distance and terrain in the way of people who really deserve better consideration,” Mr Davies said.

“Taxi ranks should be located where everyone can get to them, not just those who can easily negotiate their way through crowds and across uneven terrain. Those who are used to catching a taxi from outside the Main Gate will apparently be told they have to go back up over to O’Connell Terrace. This is going to be an unnecessary inconvenience to all our customers, especially when they will likely have armfuls of show bags and gear and simply want to make their way home safely and quickly.

“The Ekka is one of Brisbane’s biggest events, and the RNA has a responsibility to put in place arrangements that don’t lead to patrons experiencing discrimination. In the case of people with disability simply wanting to catch a cab home at the end of their day from the Show, that means having a taxi rank located as conveniently as possible to the main entrance. In doing so, the RNA would not only be looking after people with disability, they would also be catering for all Show goers who use taxis for convenience and want to catch one at a familiar location,” Mr Davies continued.

Notwithstanding the RNA’s poor planing, Brisbane cabbies will be ready and waiting to help customers get to and from the Ekka safely and enjoyably, whether their services are booked by app or phone, or hired from a rank.

Taxis remain an important part of the public transport system and an essential service for many in the community who need but do not have accessible bus or train services reasonably available.

“The Queensland taxi industry has a proud history when it comes to transporting people with disability, and especially those who need to travel with their wheelchairs. We aim to give them access to the same quick, safe and reliable taxi services as every other member of the community that we serve and the RNA should do the same,” Mr Davies said.

ENDS

Media release
19 July 2019

The Taxi Council of Queensland (TCQ) welcomes the decision made by the Australian Taxation Office (ATO) this month to continue the taxi travel fringe benefits tax (FBT) exemptions for employers and to not extend those exemptions to ride-sourcing trips with booked-hire services such as Uber, Ola and Didi.

Back when the Federal Parliament was contemplating travel benefits for the purpose of the FBT Act, there was a clear intention to provide exemptions for taxi travel under particular circumstances, namely single trip journeys beginning or ending at the employee’s place of work, or other places an employee must go as a result of sickness or injury. The FBT Act’s exemptions are specifically restricted to vehicles licensed to operate as a ‘taxi’, a category booked-hired services do not fall under.

TCQ CEO Blair Davies says the ATO’s decision is entirely consistent with the letter of the FBT law and also with the way it was intended to operate in practice.

“The FBT exemptions were specifically restricted to licensed taxis because they provide a basic, essential and accessible service for employees and the wider community. The exemptions passed the “pub test” because they weren’t made available for high-end luxury travel, or for services that may be subject to exorbitant surcharges or that may be provided by related or private parties at contrived prices,” Mr Davies said.

“Ride-sourcing platforms that want to take their profits offshore and pay minimal taxes in Australia really have no right to be putting their hand up for tax exemptions that they clearly don’t deserve.

“We are pleased the ATO has stood its ground and not caved in to lobbying from greedy interest groups on this issue. Extending FBT exemptions to ride-sourcing services would have served to benefit wealthy overseas based platforms rather than any interests of the Australian community.”

Through their national peak body, the Australian Taxi Industry Association (ATIA), taxis have been working with the ATO and the Federal Government to promote taxation laws that apply fairly and evenly across the Personalised Transport Sector. When ride-sourcing services first emerged in 2014, the ATIA highlighted the anomaly of taxi and limousine drivers having to register for GST and declare their earnings for income tax purposes while their ride-sourcing counterparts could potentially pay little or no tax, flying under the proverbial radar.

“When the GST Act was being passed back in 1999, the Commonwealth Parliament adopted the view that taxi and limousine services should be treated the same, and that with no exceptions, all taxi and limousine drivers needed to register for and pay GST,” explained Mr Davies.

“Accordingly, it really wasn’t surprising at all when, down the track in 2014-15, the ATO looked at ride-sourcing services competing as virtual substitutes for taxis and limousines and determined that their drivers also needed to be treated the same and had to register for GST.

“From our perspective, the ATO got its decisions right in respect to both GST and FBT. With GST, the law made no distinction between taxi and limousine drivers and so ride-sourcing drivers logically should be treated the same. With FBT, the law clearly differentiated taxi services from limousine and other services, and no case could reasonably be made for ride-sourcing services being considered as basic, essential and accessible services.”

In welcoming this decision, TCQ believes the message is clear for Australian businesses.

“There is nothing complicated about the FBT law for businesses providing travel benefits for employees – keep it simple and just use taxis.”

TCQ congratulates ATIA on their representation on behalf of the industry during the ATO’s FBT review.  Arguing for the taxi travel exemption to continue and for it not to be extended ride-sourcing trips was a principled position and the right decision was ultimately made.

Ends

Media release
12 July 2019

For over 12 months, Queensland’s peak taxi body has been urging the State Government to act on congestion problems in South East Queensland, and the wasteful use of resources associated with ever-increasing numbers of booked-hire vehicles.

The Taxi Council of Queensland (TCQ) is pleased to see ride-sourcing driver associations joining the chorus of groups concerned about the issue. The latest being the Rideshare Drivers in Cooperation Queensland has identified that excessive numbers of booked-hire vehicles on the road is devasting for drivers trying to earn a living.

TCQ CEO, Blair Davies welcomes support from all quarters within the Personalised Transport Industry to join the Council’s call.

“The taxi industry has been spearheading the call for the Government to learn the lessons of cities like New York and to act early rather than waiting until it’s too late,” Mr Davies said.

“New York has been inundated with a flood of booked-hire vehicles gridlocking Manhattan streets, causing massive strain on the city’s traffic flow. Mayor de Blasio’s regret in not implementing a cap and stronger regulations back in 2015 has clearly not just impacted the livelihoods of hardworking taxi drivers, it has choked the roads and polluted the skies for every New Yorker.

“There are more than 16,000 booked-hire cars in Queensland compared to approximately 3,250 taxis. The State Government doesn’t need to get overly brave and take vehicles off the road. If it just presses the pause button now, it can stop the problem from getting worse and give itself some breathing space to carefully review the situation.

“We’re pleased to see other stakeholders in the Personalised Transport industry recognising the problem and jumping on our bandwagon. It’s a problem that is only going to get worse until the Government steps in and stops issuing more and more booked-hire vehicle licences.”

TCQ believes there is real momentum building around the issue. Stakeholders and the general community are being badly impacted, and they want the Government to do something about it.

“Queensland should not be a cautionary tale for others. The Government needs to focus on the harm being caused by uncapped numbers of booked vehicles going on the road. The drivers are being hurt, other road users are delayed by the greater congestion, and our air quality is worsened unnecessarily by more and more vehicles circling the city looking for the same customers,” continued Mr Davies.

“It’s clear New York’s timid strategy in 2015 did not work. The Queensland Government needs to muscle up to companies like Uber and other overseas booked-hire platforms and take back control of our streets. It’s critical now more than ever for regulators to pick up the pace on their Stage 3 review of the Personalised Transport reforms and fix the regulatory loopholes as soon as possible.”

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Media release
19 June, 2019 

Queensland’s peak taxi body welcomes the State Government’s proposal to step in and mandate Workers Compensation protections for gig workers, including booked-hire drivers in the Personalised Transport sector.

Taxi Council of Queensland (TCQ) says taxi drivers have had access to personal accident insurance for years and the absence of similar protections for booked-hire drivers has left them potentially exposed to some very high costs if they get injured on the job.

TCQ CEO Blair Davies said the vast majority of taxi drivers in Queensland are insured for workplace injuries under Personal Accident (PA) policies that are taken out to cover every driver of the respective taxi.  It doesn’t matter whether the driver owns the cab, holds a lease over the cab, or just bails the cab on a shift by shift basis, they are all covered under the same policy and so have access to exactly the same levels of benefit.

“We estimate about 95 per cent of Queensland taxis have a PA insurance policy that covers everyone who drives the cab from the time they leave home until the time they return home, not just when they are driving the taxi or with a fare paying passenger,” he said.

“In that regard, the PA Insurance policies used by Queensland taxis work much differently to Workers Compensation policies because they cover every driver of the vehicle. TCQ regards PA insurance policies as a more comprehensive solution for protecting drivers in the taxi industry because Workers Compensation policies exclude the many cabbies who own or lease their taxi.

“The industry is seeing more and more drivers moving into owning or leasing their taxi rather than simply bailing the vehicle from someone else on a shift by shift basis. It is a trend that appears to be well established and it means the efficiency of PA insurance policies, when compared to Workers Compensation options, will only increase over time. The PA policies provide an efficient, one-size-fits-all solution for all Queensland cabbies as they serve on the front line of providing essential mobility options for their communities.”

While TCQ believes there is no real need for taxis to change from using the PA insurance policies that the industry has relied upon for years, the status quo cannot be recommended for booked-hire vehicles. Recent research by the University of Queensland and a separate survey commissioned by the Victorian Government has shown that many booked-hire drivers are unsure whether they have any workplace injury insurance.

“Booked-hire drivers are mostly not professional drivers and they just don’t know what they don’t know about insurances that they prudently require to be protected. They clearly need help from the State Government, at least in respect of injuries that booked-hire drivers may sustain while working for their digital platform. In TCQ’s view, it is entirely reasonable and overdue for the Government to step in and mandate Workers Compensation for booked-hire drivers,” Mr Davies concluded.

ENDS

Media release
14 June 2019

Queensland’s peak taxi body is calling for the State Government to learn from New York City’s mistakes and introduce a cap on the number of booked-hire vehicles allowed to operate on our roads before it’s too late.

This week, New York City imposed the harshest ever set of regulations for app based, for-hire vehicles to crack down on the number of these vehicles cruising the streets while empty looking for their next fare and causing city wide congestion. The measures follow the introduction of a cap last year on the number of booked-hire vehicles allowed to operate in the city.

In 2018, New York City finally managed to implement a cap on booked-hire vehicles after Mayor de Blasio had tried and failed back in 2015. The Mayor was forced to backdown on his original plan following an aggressive campaign by Uber. It is something that Mayor de Blasio regrets to this day having now seen the resulting detrimental impact on the city’s roads and workers in the personalised transport industry.

The Taxi Council of Queensland (TCQ) has previously called for the State Government to introduce a cap on booked-hire vehicles and is recommending that they learn from New York’s regrets of acting too late.

“The situation in New York should act as a cautionary tale for our State Government.  New York has been inundated with a flood of booked-hire vehicles gridlocking Manhattan streets, causing massive strain on the city’s traffic flow. Mayor de Blasio’s regret in not implementing a cap and stronger regulations back in 2015 has clearly not just impacted the livelihoods of hardworking taxi drivers, it has choked the roads and polluted the skies for every New Yorker,” TCQ CEO Mr Blair Davies said.

“The Queensland Government cannot take a year or two to learn the lessons of New York; the time to act is now. The later a cap is introduced, and stronger safety regulations put in place, the less effective they will be. The Government needs to press the pause button to cap booked-hire vehicles at their current number. They also need to pick up the pace on their Stage 3 review of the Personalised Transport reforms and tighten regulations around passenger safety as soon as possible.”

With more and more overseas booking platforms entering the Australian market, Mr Davies says all drivers in the personalised transport sector are feeling the strain as they compete to make a living.

“The fact that New York has now had to impose such harsh regulations, is a clear tale of how badly a hands-off strategy works in this space. The overseas booking platforms will happily put more and more cars on our streets, to the detriment of their own drivers, taxi drivers and other road users. They just don’t care and in any case they don’t live here.

“We urge the State Government to heed Mayor de Blasio’s regret and say we’re not going to allow Queensland to fall into the same trap of wishing we had done the right thing way back when,” concluded Mr Davies.

Ends