TAXI CAB INDUSTRY

Evening Star, Issue 22450, 22 September 1936, Page 6

TAXI CAB INDUSTRY

THE NATIONAL INQUIRY EVIDENCE OF CUT-THROAT COMPETITION [Per United Press Association.] WELLINGTON, September 21. The national inquiry into the taxi and carrying business for the purpose of securing better organisation, regulation, and control opened to-day. Tho committee consists of Messrs P. M. Buffer (chairman) and J. Walker. James L. Hagan, a taxi proprietor, said that buses were competing with taxis, and the fares should be increased to enable the drivers to be paid a weekly wage. The taxi business today was “ fair game ” for retired Civil servants and tramway employees, who also drew superannuation. Ho thought a co-operative concert would result in the ideal system. The individual taxi proprietor had no chance against companies. He was of the opinion that the compulsory insurance premium of £6 for third party risks should be reduced. The insurance companies were having a good time at the expense of the taxi proprietors, as claims for accident compensation were rare. The experience of taxi drivers under tho City Council had not been a happy one. The council had given preferential treatment to companies. Evidence was given by Cyril Bartlett, a commission driver in the Grey Cabs Company, that he had worked for a long time at an average of 92 hours a week spread over 14 hours a day. His earnings averaged £3 5s a week. Black and White Cabs were not responsible for the original cutting of fares. This was instituted by Gold Band Taxis, this firm later being taken over by Grey Cabs, which had come to Wellington from Auckland in retaliation to Black and White’s invasion of the Auckland field. Black and White’s could have “ scooped the pool ” in Wellington but for the stupidity of some of its directors, who knew nothing of the taxi business. Witness proposed a scheme for the formation of a company or co-opera-tive concern which would take over all the cars now operated by ownerclriyers. The company would issue scrip to each owner to the value of his car. In the event of money being owed to a motor firm the company would pay it. This would take the financial burden off the shoulders of the men. There would be no levy on the men, who would be paid fair wages for reasonable hours. Any man dismissed would receive his shares back. No scrip would be issued to the public. No driver would be responsible for anything but the takings of his car. The scheme, witness contended, would make for efficiency and economy. It would be a monopoly, but would be regulated by the Transport Department. George Edward Higgins, chairman of the executive of Diamond Cabs, said the fares now fixed by tho Wellington City Council were fair to both the taxis and the public. Patrick L. Fitzgerald, manager of a small company, Yellow Cabs, agreed that an extra sixpence should be charged for the first mile. The inquiry will be continued tomorrow.