The last taxi company – Prime Taxis, are going to raise their flag down rates soon, if a unanimous agreement is reached in a vote next week. Drivers of Prime Taxis have seen a decline in earnings after the other taxi companies rose their flag down rates in December – effectively creating a knee-jerk reaction that got many customers off taxis for quite a while.

However, from recent reportings and survey, this down trend seems to be improving as taxi drivers are beginning to see a gradual increase in their passengers as well as earnings. This reinforced the fact that Singaporeans are indeed very supportive of the taxi drivers and are beginning to resume taking taxis as they used to.

As the LTA and other parties had mentioned previously, the sudden drop in customers may be a knee-jerk reaction. At the end of the day, if a person has to take a cab, he will. After all, it’s a trade off between time and money and time isn’t something that someone can buy. In such instances, it is better for a person to just take a cab to save some time.

THE lone Singapore taxi company to decide against raising its fares last month could soon reverse that decision.

Drivers from Prime Taxis, the island’s smallest cab firm, will vote next Tuesday on whether to raise flag down fares and after-hours rates, said managing director Neo Nam Heng.

The company’s 100 cabbies saw their take-home pay drop 50 per cent after five of Singapore’s six companies raised fares in December, a move that drove many commuters away from taxis.

‘For the first two weeks, there was a fall in their income because people saw the other companies increase price and stopped taking cabs,’ said Mr Neo.

The situation, though, has improved recently.

Drivers are seeing their income inch back up to the pre-hike rate of $100 to $120 a day, said Mr Neo.

It has been a roller coaster ride for Singapore’s taxi companies, some of whom, like Prime Taxis, are starting to see business rebound.

Divers from the island’s biggest firm, Comfort DelGo, have seen their take-home pay creep upwards over the last few weeks.

The average ComfortDelGro cabbie earned $159 per shift, up from $153 before the fare increase, according to a company survey of 5,000 drivers.

Article obtained from on 25th January 2008

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