Rowdy Taxi Rally in Essen Demands Fair Competition
Essen Taxi Drivers Advocate for Mandatory Minimum Fares in Competition Scenario - Taxi drivers in Essen urge implementation of minimum fares to ensure fair competition.
Essen's chaotic streets echoed with honking cars and a snaking queue of yellows Tuesday morning. Drivers were fed up, protesting in the city center against their cutthroat competition - the rental cars from companies like Uber and Bolt. "Time's Up for Social Dumping - Minimum Rates Now!" was the rallying cry, with about 140 demonstrators and 110 taxis attending according to the police. One major intersection nearby the town hall was blocked off.
Dirk Schäfer, the spokesperson for the Taxi Essen association, shared their grievances, stating that the influx of ride-sharing vehicles has skyrocketed in the city, often offering rides at nearly half the taxi tariffs enforced by the city. He appealed for minimum rates to extend to ride-sharing services and for their numbers to be capped.
Taxi drivers struggling to make ends meet
Working as small business owners, the taxi drivers pay local taxes and comply with numerous regulations such as minimum wage, contrasting the unregulated prices received by rental car drivers from international platforms, Schäfer noted. During peak demand, like trade fairs, rental car prices can skyrocket, while taxis struggle to compete.
Fighting the flood of rentals on Essen's streets
Out-of-town Uber drivers are a common sight during trade fairs in Essen. The local taxi market can't keep up with the low-cost rivalry, according to Schäfer. Only about 420 of the potential 620 taxi licenses in the city are still in use.
A 65-year-old veteran taxi driver has noticed a drop in earnings as rental car drivers undercut them often, experiencing a decrease of around 30 percent over the past year. "They drive for ten hours for 120 euros - that's far below minimum wage."
City officials also demand fair rates
A representative for the city expressed support for a minimum rate for rental cars. To accomplish this legally, a study is in progress. Violations are monitored, with printed signs and radio announcements during significant events in Essen.
- Taxi
- Rental Car
- Minimum Price
- Uber
- Essen
- Minimum Wage
- Police
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Essen taxi drivers are rallying against their rental car competition, such as Uber, citing "dumping prices" as a significant threat to their livelihoods. The primary concerns of the protest include:
Key Problems Faced by Taxi Drivers
- Capital Threat: Taxi drivers argue that Uber's flexible pricing strategy, including "dumping prices," is consistently poaching their customers and jeopardizing their continued existence in the market[1][2].
- Regulatory Discrepancy: They highlight the disparity in regulations, asserting that traditional taxis are obligated to adhere to fixed tariffs dictated by local authorities, while services like Uber can freely alter their prices without such constraints[3].
- Regulatory Harmony: Taxi drivers ask for minimum rates to be implemented for all ride-sharing services to create an even playing field. They also demand enforcement of regulations, like the "Rückkehrpflicht," which requires rental cars to return to their business location after each ride to pick up a new customer[1][5].
- Competitive Tactics: Taxi drivers allege that Uber uses unscrupulous practices, such as picking up customers from the roadside or even official taxi stands, undermining the local taxis' business[1].
- The Essen taxi drivers staged a protest against their competition, namely Uber and rental cars, demanding fair competition and implementation of minimum rates.
- The primary reason behind the protest was the significant threat posed by the lower prices offered by Uber and rental car services, which harmed the livelihoods of taxi drivers.
- The taxi drivers highlighted the disparity in regulations, where they were obligated to adhere to fixed tariffs, whereas services like Uber could freely change their prices.
- To establish a level playing field, the taxi drivers requested that minimum rates be implemented for all ride-sharing services, and regulations like the "Rückkehrpflicht" be enforced.
