Uber Wins Taxis Conceding Defeat

haldriver

Well-Known Member
Was speaking to a couple of Taxi mates.
Seems that one of the bigger Taxi Pool management companies (they lease out Taxi shifts on behalf of Taxi owners) is going to recommend to owners to cancel their government lease plates (now $1191 pa including $272 admin fee) and take up CV plates ($272 admin fee only) and get their drivers to subscribe to Uber App.
They figure they can not only save money on government lease fees but also on insurance (anywhere up to $4000 pa). Also will give cameras back (not sure about saving there).

Lease rates can then be dropped to $50-60 per shift (was $90-145). This company manages about 100 taxis and they think about 50 will remove stickers and roof sign and become Uber. Will lease out to about 100 to 150 drivers depending on how they organise shifts.

They aren't sure about how full ownership plates will be handled so are waiting for Law Suit for compensation against Government for plate value.

These drivers are also letting relatives know that conditions to drive have been relaxed and advising them to come over. New minimum age being only 20 is a big incentive.
 
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lui6155

Well-Known Member
This assumes Uber will accept these drivers on their platform in terms of
*having a valid licence for 12 mths and over 21
*the car is insured in their name and less than 7yo
*as well as the other uber conditions.
Or have these been relaxed?
PS don't the TAxi pool companies also receive a percentage of drivers fees or is it a pure car lease arrangement, if the former then a poor effort to concede without trying to improve service and tariffs imo.
 

Loz

Member
Was speaking to a couple of Taxi mates.
Seems that one of the bigger Taxi Pool management companies (they lease out Taxi shifts on behalf of Taxi owners) is going to recommend to owners to cancel their government lease plates (now $1191 pa including $272 admin fee) and take up CV plates ($272 admin fee only) and get their drivers to subscribe to Uber App.
They figure they can not only save money on government lease fees but also on insurance (anywhere up to $4000 pa). Also will give cameras back (not sure about saving there).

Lease rates can then be dropped to $50-60 per shift (was $90-145). This company manages about 100 taxis and they think about 50 will remove stickers and roof sign and become Uber. Will lease out to about 100 to 150 drivers depending on how they organise shifts.

They aren't sure about how full ownership plates will be handled so are waiting for Law Suit for compensation against Government for plate value.

These drivers are also letting relatives know that conditions to drive have been relaxed and advising them to come over. New minimum age being only 20 is a big incentive.
The beginning of the end for the taxi industry. Uber drivers can not complain about the influx of ex taxi drivers as they started this.. I will continue driving my taxi part time as I am too old for change and the more plates handed back in to the DOT the better for the remaining taxi drivers...
 

Loz

Member
This assumes Uber will accept these drivers on their platform in terms of
*having a valid licence for 12 mths and over 21
*the car is insured in their name and less than 7yo
*as well as the other uber conditions.
Or have these been relaxed?
PS don't the TAxi pool companies also receive a percentage of drivers fees or is it a pure car lease arrangement, if the former then a poor effort to concede without trying to improve service and tariffs imo.
All pool cars are on a set weekly lease. As for insurance I have seen a few uber cars that have a hire car name on the back so these cars must be owned by the hire car firm and not the drivers..
 

Larrikin

Active Member
All pool cars are on a set weekly lease. As for insurance I have seen a few uber cars that have a hire car name on the back so these cars must be owned by the hire car firm and not the drivers..
Interesting you should point that out - I was convinced a 'No Birds' Bayswater hire car was running as an Uber car in Northbridge on Friday night, turned on the passenger app and sure enough there he was right in front of me.
 

lui6155

Well-Known Member
Hmm I am sure I saw the same on the weekend which reinforces the slippery/dodgy slope that the Uber brand is on.
Also saw a few oldish Hyundai getz picking up pax, got to laugh and buggered how they will keep up their rating.
So how does one report the dodgy practices or more to the point does Uber care. If the later is no then maybe this gig is not for me and Shofer is a better alternative.
 

haldriver

Well-Known Member
  • Thread Starter Thread Starter
  • #7
*having a valid licence for 12 mths and over 21
*the car is insured in their name and less than 7yo
*as well as the other uber conditions.
Or have these been relaxed?
PS don't the TAxi pool companies also receive a percentage of drivers fees or is it a pure car lease arrangement, if the former then a poor effort to concede without trying to improve service and tariffs imo.
New conditions -
20 years old and license from any recognised country (India and Pakistan licenses are recognised, Somalia probably isn't)
Car must be 4 doors (Nissan Navara is 4 doors???)
Age of car was 9 years, when did it change? CV cars can be any age (Up to Uber to accept them if older).

May be news to you but all Taxis do qualify for Uber except some of the 7 seaters which were allowed to be up to 10 years old.
All Taxi drivers actually have to have a T extension which supersedes F extension.
All Taxis have to have commercial liability insurance which exceed 3F (massively). Insurance is a big bugbear to Taxi owners and as Uber is apparently so much cheaper why would they pay the higher rate especially when they can't get the drivers anyway?
Plates were $13 000 pa to lease from government or $20 000 to lease from private owner (regulated price by government). Now at $1191 are still 4 x the price of a CV so why pay the extra when they can go to CV and rent out at reduced cost.

Taxi pool companies act basically as lease management agents (similar to real estate real agents and take a commission of rent not income).
They find drivers, organise repairs etc and pay owners remainder after costs. There are many Retired Owners and Taxi Widows (wives of deceased owners, once self funded retirees now pensioners) who use them to look after their (now former) asset.

If they see more income and profit from renting to Uber drivers then they will do so. If they can't recruit new Taxi drivers then they may as well rent to potential Uber drivers especially students who may not want to buy a car just yet (in the long run better to buy a Geely) but as many arrive in Australia with limited funds will help in getting started.
Was told of one group of 4 students who have brought a Camry to share. Is pretty much on the road 24 hours. This will be the trend. Uber don't care as long as they know the car is licensed doesn't matter who owns it.

This is an evolving industry and this is the result of de-regulation. Taxis have a very limited life left and owners are going to try to find whatever income they can while the actual car is still roadworthy. The license now is worth nothing so it is pretty cheeky for government to continue leasing out government plates. Who would even bother paying $20 000 to the poor Taxi Widow when they can get the CV for $272 and use it 24/7?

Uber is still recruiting (Coventry's in Morley) and won't stop doing so even when they are a monopoly.
Uber have our back, our arse and our 20-28%.
 

UberDriverAU

Well-Known Member
May be news to you but all Taxis do qualify for Uber except some of the 7 seaters which were allowed to be up to 10 years old.
Uber won't knowingly put an ex-taxi on their books, regardless of age. That's their policy: no ex-taxis.

All Taxis have to have commercial liability insurance which exceed 3F (massively). Insurance is a big bugbear to Taxi owners and as Uber is apparently so much cheaper why would they pay the higher rate especially when they can't get the drivers anyway?
You do realise that commercial liability and 3F are mutually exclusive insurances? It would seem not. Insurance is a bugbear for taxis because they simply have more accidents than other types of vehicles. If you want premiums to go down, you need to have fewer accidents. It's pretty simple.

Plates were $13 000 pa to lease from government or $20 000 to lease from private owner (regulated price by government). Now at $1191 are still 4 x the price of a CV so why pay the extra when they can go to CV and rent out at reduced cost.
It may be reduced cost, but it still costs too much compared with an owner-driver setup. Leasing cars to do Uber simply isn't going to be financially viable for drivers in the long run. Drivers are simply better off buying a $5K-6K car and using that.
 

haldriver

Well-Known Member
  • Thread Starter Thread Starter
  • #9
Uber won't knowingly put an ex-taxi on their books, regardless of age. That's their policy: no ex-taxis.
Dude look around you. There are already plenty of ex-Taxis being driven as Uber. The Ford station wagons are obvious, the Camrys less so but they are out there.

You do realise that commercial liability and 3F are mutually exclusive insurances? It would seem not. Insurance is a bugbear for taxis because they simply have more accidents than other types of vehicles. If you want premiums to go down, you need to have fewer accidents. It's pretty simple.
Which is why this Management company is looking are de registering the lease license taxis (government leases) and getting CV instead. Why pay Commercial Liability when you can get away with 3F? They aren't getting the drivers into Taxi Leases anymore so best reduce costs and rent to potential Uber drivers.
Your logic is that Taxis have more accidents so should pay more. Well they won't be Taxis anymore so they won't have as many accidents (following your logic).
Of course if there are more accidents in On Demand Transport insurance will have an overall review but we all know Uber driver's are less accident prone than Taxis.

Leasing cars to do Uber simply isn't going to be financially viable for drivers in the long run. Drivers are simply better off buying a $5K-6K car and using that.
Won't be long run. Just whilst new drivers are establishing themselves. As I said Students who have limited funds and need to get enough to borrow and buy. With the new ease at getting into the industry there will be more student visa drivers (only have to be 20 now) but they come here with limited funds.
Another year or two and there will be no government lease plates out there and ownership plates will only exist because the owners are in debt. Some might just go bankrupt. Others (the Self Funded Retirees) will just go on the pension.
 

Johnno351

Member
And when these taxi drivers rating drops and they're kick off uber and the taxi counsel can't help them cause uber doesn't give a turd.
 

haldriver

Well-Known Member
  • Thread Starter Thread Starter
  • #11
And when these taxi drivers rating drops and they're kick off uber and the taxi counsel can't help them cause uber doesn't give a turd.
ye of such little faith.

Why would they be any worse than the drivers already out there? Most are already ex-Taxi drivers.
Have you seen the crapped up Mercs, Hotted Commodores and Chrysler 300s, the Nissan Micras, Toyota Yarises, Getz and Swifts and the Student Visa drivers already operating. How many have been de-activated?
Yeah would be nice if all Uber were Jeep, Land Cruiser, Audi, BMW etc but at $1.00 a km that isn't sustainable. One gearbox problem and they are toast.
Taxi counsel (council... TCWA doesn't exist anymore) has nothing to do with Uber so why would they help them? Don't understand your logic?
 

Loz

Member
ye of such little faith.

Why would they be any worse than the drivers already out there? Most are already ex-Taxi drivers.
Have you seen the crapped up Mercs, Hotted Commodores and Chrysler 300s, the Nissan Micras, Toyota Yarises, Getz and Swifts and the Student Visa drivers already operating. How many have been de-activated?
Yeah would be nice if all Uber were Jeep, Land Cruiser, Audi, BMW etc but at $1.00 a km that isn't sustainable. One gearbox problem and they are toast.
Taxi counsel (council... TCWA doesn't exist anymore) has nothing to do with Uber so why would they help them? Don't understand your logic?
Taxi insurance is so expensive because my policy has a 30,000.00 policy on the passenger. Uber only has a 5,000.00 policy.. I just read the new conditions and now I only have to have a 10,000.00 policy so my insurance should go down. And in 24 yrs driving full time and now 30hrs a week I have never caused an accident bu I have been hit up the back 7 times which the other driver's insurance paid for everything .. My PPRT insurance is still $3,600 a yr..
 

haldriver

Well-Known Member
  • Thread Starter Thread Starter
  • #14
North side rentals give you a new , fully insured and maintained vehicle for Uber from $179 per week- that's 7 days and nights 24/7.

More Uber on the way. Not only taxi management changing tact, rental companies now providing for those that don't have cash up front for their UberMobile.

Saw North Side Rental with Uber phone on dash Saturday.

Yeah I really welcome them to the Party.

For at least 6 weeks I am party out. Will see what happens when I am available again.
 

UberDriverAU

Well-Known Member
North side rentals give you a new , fully insured and maintained vehicle for Uber from $179 per week- that's 7 days and nights 24/7.

More Uber on the way. Not only taxi management changing tact, rental companies now providing for those that don't have cash up front for their UberMobile.
$179/week is $9,308/year, and then you have to pay for fuel on top of that. As a long term proposition that's certainly not a winner. I wonder if they're licenced as a Charter Vehicle?
 

lui6155

Well-Known Member
$179/week is $9,308/year, and then you have to pay for fuel on top of that. As a long term proposition that's certainly not a winner. I wonder if they're licenced as a Charter Vehicle?
Agree its not a bad short term solution....its at about my cost/km excl fuel of 17c/km.
Worth considering and yes wonder if licenced under the new regs and would be allowed by Uber given the insurance and rego is not in the name ofthe driver.
PS has anyone else received a trip request from a Jason at Northside only to have it cancelled when I arrived, happened to me y'day. Reckon he was in the northside office "trialling" the app to prospective newbies. If u r reading this Jason, please desist from doing this.
 
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