13cabs against the Taxi Industry

The move by 13cabs into rideshare is damaging for the cab industry in Australia

13cabs has removed the requirement for taxis to operate on a taxi licence. Even though rideshare cars cannot do rank or hail work, they will be dispatched the bookings that would normally have been sent to taxis.

This is bad news for taxi owners, drivers and operators because it further devalues taxi licences, means less money in your pocket and means fewer drivers for fewer jobs.

It’s simply not on!

The taxi drivers, owners and operators need support – the industry needs to unite not fight. We need to protect the interests of taxi licence owners, operators, and drivers across Australia.

13cabs is basically deregulating the taxi industry and removed the need for taxis to operate on a taxi licence.

The move by 13cabs is unacceptable for a number of reasons:

  • Our passengers are being tricked into thinking they’re getting a taxi
  • 13cabs rideshare vehicles are passing themselves off as cabs, complete with hail lights and taxi-like livery
  • Rideshare vehicles have no right to rank and hail work
  • 13cabs are devaluing taxi licences and drivers will earn less as they lose work to rideshare taxis

It’s tough for taxi drivers, owners and operators. The hard truth is taxi drivers, operators and licence owners, who partnered with government, are making very limited money. This move by 13cabs is yet another knock to an industry that can’t take many more.

  • Taxis, drivers, owners and operators have taken a beating over the last decade.
  • The taxi industry has been hit hard by rideshare with large revenue declines.
  • COVID-19 continues to impact the taxi industry. Taxi operators, drivers and owners are not making enough money to cover expenses due to lockdowns, border closures, more people working from home and businesses closing down.
  • Taxi licences owners, partnered with government and bought taxi plates for $200-500K per licence. Most of these people were retirees, and their taxi licences are now worth only $40-50K.
  • Taxis have had to adapt their services and compete hard to stay in business.

Customers themselves are becoming annoyed with the new “13cabs Rideshare” service. They believe that they’re ordering taxis, but the 13cabs rideshare vehicles turn up instead.

Shown is an actual message a customer received after booking with 13cabs. They believed that they were ordering a cab, and the message itself confirmed that with a copy or the tracking link show the vehicle as a “cab“.

Below is an example email that 13cabs sent relating to their Rideshare product