TAXI SERVICES

Evening Star, Issue 22463, 7 October 1936, Page 2

TAXI SERVICES

COMMITTEE OF INQUIRY STABILISATION OF BUSINESS URGED The Committee of Inquiry appointed by the Government to investigate the conduct of taxi and town carrying businesses in the Dominion heard further evidence yesterday afternoon in the Council Chamber of tho Town Hall. The committee, which consists of Messrs P M. Butler (Wellington), James Walker (Masterton), and H. B. Smith (Transport Department, Wellington), made fixtures which will occupy its time at least until Friday. Mr J. Moffitt gave evidence on behalf of White Star Taxis, Gold Star Taxis Ltd., and City Taxis Ltd., and said all the drivers employed were paid on a commission basis. The three companies were more or less under one control. It was recognised, he said, that the present methods of operating taxis wore responsible for shocking working conditions in many quarters, and the companies which lie represented were anxious to help to have the conditions improved. This could only be brought about by regulation and control by a public authority. Mr Moffitt quoted figures which he estimated operating costs at 7Jd a mile, and gave it as his opinion that the following factors were essential for the stabilisation of the business: —

Compulsory and universal use of taxi meters.

Standardisation and fixation of fares, with an increase on existing rates. Limitation of cabs within the city to one for each 1,000 of population. Regulation of working hours to 55 per week.

Fixation of wages at £4 5s per week. Provision for proper and adequate inspection of operators as regards adhering to regulations.

Amplifying these points, Mr Moffitt expressed the opinion that there should be an amalgamation of some of the smaller companies, thereby reducing overhead costs. It was suggested that the proposed hours and wages could be tried for a period of 12 months. He outlined a system under which waste mileage would be eliminated by the establishment of suburban depots and community depots. Mr Moffitt objected to the action of the City Council in running late buses on Saturday nights at a time which previously was a period of peak loading for taxis. He complained that there was serious overloading of the buses, which would not be permitted among taxi drivers. He quoted figures showing that the earnings of 18 drivers over a period of three months ranged from £3 7s 8d to £5 Os 2d. The men worked shifts of nine hours, but, if they thought there was work offering after that, they could go into the depot. The average working time was about 70 hours a week, and only 30 or 40 per cent, of this was actual driving time. The town clerk (Mr G. A. Lewin) asked the Witness if his advocacy •of increased fares and the use of taxi meters represented a.change of opinion. Mr Moffitt said that the object of the present proposals was to eliminate price cutting. Mr Lewin referred the witness to a letter written ou September 10, 1935, and signed by him and other operators. It stated: “ Any increase in fares would immediately involve a loss of prestige with our clients.” The letter added that the adoption of a meter system would not overcome the operators’ difficulties, and a request was made that they should be heard by the council before they were compelled to install meters. Mr Lewin added that he did not criticise the change of view, but wished to point out that the opinions expressed at the time at which the letter was written did not assist the council in its efforts to bring the operators together. In reply to Mr Lewin, Mr Moffitt said he would' be prepared to place before the council a scheme for financing the installation of meters. In answer to Mr Herbert, Mr Moffitt said ho did not intend to influence the committee in proposing the wages and hours which he mentioned, but he was definitely of opinion that they represented an improvement on existing conditions.

Mr W. J. Hodge, of Kiwi Taxis, asked Mr Moffitt if lie thought the present fares showed a reasonable margin of profit. Mr Moffitt: Under present conditions, yes. In reply to the chairman, Mr Moffitt said it was necessary to keep up to date in respect of cars. The latest cars attracted business, and the practice of his company was to change a car every two years. Ho did not favour a standardisation of the bodies of cabs.

Mr A. G. Hunt, a partner in iloslyn Taxis, said his company worked on a wage basis. He submitted a copy of a letter which he had sent to the "Minister of Transport alleging that drivers were working over 100 hours a week and that they were lucky if they earned £5 a week. He suggested the use of meters to avoid tho cutting of fares, proposing that the Government might' assist the companies in meeting the cost.

He submitted proposals in respect of wages and conditions, and went on to say that his company worked out all costs at 7-Jd per mile and earnings at 8-Jd He suggested there should be some form of national control over taxi services. either Governmental or by a board.

The committee adjourned till this morning.