Digital taxis given 14 days to come up with standardized fares

Digital taxis given 14 days to come up with standardized fares

September 12, 2019 0 By mykenyancareers
UBER APP - Digital taxis given 14 days to come up with standardized fares
The dominant player, Uber, has also asked to review its contracts with Kenyan drivers/FILE

NAIROBI, Kenya, Sept 12 – Digital taxi hailing companies have been given 14 days to come up with standardized fares applying to all apps.  

Labour and Social Welfare committee led by Nairobi Senator Johnson Sakaja say the move will foster positive competition in the sector.

The committee had been convened to address issues in the sector, key among them depressed earnings for the drivers, unfair competition and insecurity.

Other issues facing the sector include presence of dummy apps after such apps were reported in Uber rides to extend the distance travelled by riders in order to charge them exaggerated fees.

The dominant player, Uber, has also asked to review its contracts with Kenyan drivers.

“It is illegal for you to operate on Kenyan soil if your law is suiting your parent company in the Netherlands, and you, therefore, need to review your contract according to the Kenyan law,” said Makueni Senator Mutula Kilonzo Junior.

Those invited by the committee include Uber, Bolt, Little Cabs and Mara Moja.

At the same time, the committee has directed the Ministry of Transport to come up with a law that will regulate digital taxis operating in the country.

According to Sakaja, the move will bring some level of sanity to the transport sub-sector, which has in the recent past been characterized by disputes.

Multiple industrial actions have been taken in the past by drivers of the apps to protest over what they termed as pitiable rates.

In July, drivers were on strike demanding the companies to more than double the cost per kilometre of rides.