Montreal taxi drivers leaving industry due to high costs, deregulation
Posted August 17, 2022 9:00 am.
Last Updated August 17, 2022 7:09 pm.
High gas prices, vehicle maintenance, Uber, and government reform of the industry have affected taxi drivers across downtown Montreal.
And a lack of profitability has resulted in many either switching over to ride-sharing apps or leaving the industry altogether.
George Boussios, president of Champlain Taxi, has noticed an increase in prices ultimately affecting a taxi driver’s bottom line.
“Insurance has skyrocketed, gas has skyrocketed, repairs have skyrocketed,” Boussios said.
However, many agree the deregulation of the taxi industry caused by the enactment of Bill 17 has changed the landscape, removing taxi permits altogether by integrating ride-sharing apps – prompting many traditional taxi drivers to leave entirely.
“The law basically destroyed the taxi industry,” said Boussios. “All the professional taxi drivers that bought a permit, invested in a business – because it was a business – was taken away from them. They all retired.”
Bill 17 hurting taxi drivers
Bussios says Bill 17 created a lack of driver investment and incentive, leading to a loss of control. This resulted in an ever-dwindling workforce, as companies are now subject to a driver’s lack of exclusivity.
“Now the law says you can have the app on your phone, work for a company, get an Uber call and take off your dome and pick up a customer,” Boussios added.
Hamid, a Montreal taxi driver for over eight years, has noticed a decline in the number of drivers on a daily basis.
“An enormous amount of drivers have left, so many are leaving,” he said. “A minimum of 30 per cent have left.”
READ MORE: Montreal’s taxi sheriff and a one-man war against Uber
Drivers like Hamid claim that since the law, getting ticketed has been more common despite legitimate accreditation and formerly having a 72-hour grace period for immediate repairs.
Recently ticketed himself, Hamid doesn’t understand the massive charges when ticketed, on top of the new charges the government has applied on every ride, resulting in drivers paying hefty annual fees.
“Do you know what $700 is? It’s a week’s salary. How am I supposed to feed my family?” he said.
Adaptive driving service also struggling
Drivers in the adaptive driving service have also dealt with a profitability problem of their own.
High costs, fees, and the increased price to equip a van with handicap amenities has created a challenge of making a livable salary, despite working 18-hour shifts.
It recently prompted them to organize a protest.
Abdelaziz Lamhene, the vice-president of l’Association des chauffeurs de taxi accessible du Québec (ACTAQ), says drivers need to make their voices heard and speak out against the lack of support from the government.
“Divide the number of hours worked and you’ll see that they barely reach $12 per hour,” said Lamhene. “You walk into a McDonald’s and you start at $15-16 an hour. A student is better paid at a McDonald’s today than a driver in adaptive transportation.”
Despite base fares adjusting in September to $4.10, many in the industry say the problem stems from the government waiting too long to adjust costs in relation to inflation, ultimately affecting both the driver and the client.
