Coronavirus Singapore

Taxi drivers to get at least $300 monthly in extra rental relief

Including separate govt payouts, they will get almost $5k in first half of next year

While passenger numbers have grown to about 70 per cent of pre-Covid-19 levels, drivers are earning less in fares, said ComfortDelGro Taxi chief executive Ang Wei Neng. ST PHOTO: ALPHONSUS CHERN
While passenger numbers have grown to about 70 per cent of pre-Covid-19 levels, drivers are earning less in fares, said ComfortDelGro Taxi chief executive Ang Wei Neng. ST PHOTO: ALPHONSUS CHERN

Taxi drivers will get at least $300 a month in additional rental relief from cab operators in the first half of next year, as the sector continues to be hit by low demand caused by the pandemic.

Including the separate payouts that the Government has announced, they will receive a total of almost $5,000 from next month to June, said Senior Minister of State for Transport Amy Khor yesterday.

Explaining the continued aid for the sector, Dr Khor said: "Tourism activities remain muted... and many employees are still continuing to work from home.

"In fact, the commuting pattern has actually changed with shorter trips and therefore lower fares."

She was speaking after a visit to the ComfortDelGro office in Braddell Road.

ComfortDelGro Taxi chief executive Ang Wei Neng noted that while passenger numbers had grown to about 70 per cent of pre-Covid-19 levels, drivers were earning less in fares.

He said he hoped that the introduction of Covid-19 vaccines, as well as the reopening of the economy and borders, would help to boost the prospects of drivers.

Separately, the Land Transport Authority (LTA) this week announced that drivers of private-hire cars and taxis will get $600 a month from January to March next year, up from the $300 monthly they were initially set to receive.

In addition, the drivers will also get $450 from April to June.

The increased payouts by the Government are meant to help cushion the impact of the Self-Employed Person Income Relief Scheme (Sirs) ending this year.

The scheme had provided self-employed people with three quarterly cash payouts of $3,000 each.

Drivers had been able to use Sirs, as well as the Special Relief Fund, to boost their earnings.

Dr Khor said yesterday that the Government has disbursed about $120 million in payouts through the Special Relief Fund to about 40,000 taxi and private-hire car drivers as of end-November.

When asked if private-hire car operators such as Grab and Gojek would be introducing additional rental relief similar to that offered by taxi operators, Dr Khor said: "We continue to work together with the operators to encourage them to continue to support the private-hire car drivers in whatever way they can."

Labour MP Yeo Wan Ling, who is also a director at the National Trades Union Congress, said it has been meeting private-hire operators to let them know about the initiatives by taxi operators.

She noted that the union has also worked with private-hire platforms on upskilling drivers and equipping them with expertise to transition to other industries.

Ride-hailing operator Grab said in response to queries that its approach would "continue to evolve with the situation". It said it had been focusing on maximising earning opportunities for its drivers.

The Straits Times understands that Gojek has no plans to introduce subsidies similar to that of taxi operators. But a spokesman said the firm remains committed to helping drivers through incentive schemes and benefits.

Meanwhile, cabbies said they are grateful for the additional help.

ComfortDelGro taxi driver Frankie Chew, 52, acknowledged that the subsidies which drivers will receive next year will be lower without Sirs.

However, the sole breadwinner for his family of four is optimistic about the future.

He said: "Singapore is opening up and people are coming out.

"The most difficult challenge (during the circuit breaker period) has already passed, so we will definitely be able to pull through."

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A version of this article appeared in the print edition of The Straits Times on December 19, 2020, with the headline Taxi drivers to get at least $300 monthly in extra rental relief. Subscribe