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Victorian taxi drivers get HUGE pay rise from 1st July 2014

We ask readers to study the schedule that we have prepared as we await the determination of new fares from the Essential Services Commission - see the link below captioned "Related File."

If fares go up by 20%, drivers will get a 37.5% pay increase and owner/operators will get only 3.5%.

If owners/operators need a 30% increase (to bring Melbourne fares up to the level of Sydney fares) the drivers will get a lift of 49% and owners/operators will only get a 12.5% increase (LESS than inflation over the six years since the last fare adjustment).

If the costs for owners/operators have gone up by (say) 21%, we see that a fare rise of 40% will be required and drivers will enjoy a 60.4% pay rise!

There does not seem to be much that can be done about this UNLESS permit holders drop rents WAY BELOW THE “FLOOR PRICE” OF $22,000 A YEAR OR TAXI OWNERS/OPERATORS ARE PREPARED TO WORK FOR NEXT TO NOTHING!

Of course, we could still have a bit of a look at the Depot Fees!

We think that taxi owners/operators will not continue to operate taxis (OR START TO OPERATE PBO's!) now that we can see what has happened!

We have mentioned this before – we think that taxi permit holders should rent their taxi permits to ACTIVE taxi drivers!

Related Files:
Victorian_taxi_fares_-_share_driver_and_owner_from_1st_July_2014.pdf

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