TAXI BUSINESS

Gisborne Herald, Volume LXVI, Issue 20079, 27 October 1939, Page 11

TAXI BUSINESS

CO-ORDINATION MOVE

POSITION IN GISBORNE

NO AGREEMENT REACHED

OWNER-DRIVER’S CLAIMS

Repeated discussions among taxicab proprietors in Gisborne so far have failed to produce any plan for co-ordination such as was contemplated on the occasion of a recent visit to Gisborne of a representative of the Transport Department, who placed before transport licensees in this district the general objects of the Government in respect of economy in operation of all units of public transport. It has been indicated by the Transport Department that those engaged in the industry should put forward their own proposals, in preference to the department talcing the initiative, but operators are under the impression that co-ordination measures ar>. obligatory. The position is that unless they accept the invitation to co-ordinate under a scheme of their own devising, the department will lay down the basis and expect the individual operators to conform to it. There is every desire on the part of the taxi-men to avoid compulsion, but so far they have had little success in the discussion of voluntary action. Situation Complicated

The situation here is complicated by the existence of one company employiny several drivers, and a number of owner-drivers either acting independently or as partners in an organisation designed to cut down overhead costs. There are 10 Gisborne ownerdrivers operating taxi-cars, and it is generally admitted that there are too many cars on the public ranks. The difficulty is to promote a scheme which would eliminate the surplus cars without doing serious damage to individuals.

Owner-drivers claim that they have business assets which entitle them to continue as operators, taking precedence over employed drivers. They point out that all their cars are up-to-date, and that if a company is formed to co-ordinate all the taxi business these would have to be taken over at a fair valuation, and provision made for liquidating payments as they fall due, in the cases of those cars still subject to hire-purchase agreements. In particular, however, they expect to bo taken into any company as partners, and to continue to exercise some control of the business. As partners, they will expect also to enjoy participation in the business should it be necessary to cut down the number of drivers. On the part of the owner of the present company operating several cars, the view has been expressed that any form of co-ordination must take account of the livelihoods of employed drivers, and it is mainly on the question of the reduction of number of drivers that discussions to date have broken down.

All parties in the business are endeavouring to co-operate, however, with a view to avoiding the necessity for departmental action.