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Premium taxi drivers to get salaries in new guideline

Aika Rey

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Premium taxi drivers to get salaries in new guideline
Transportation Secretary Arthur Tugade signs the 'Taxi Modernization Program' in line with the public utility vehicle modernization program of the government

NEW GUIDELINES. Premium taxis are up next to be modernized under the Department of Transportation. File photo by Rappler

MANILA, Philippines – Premium taxi drivers should receive regular salary and benefits according to a new guideline issued by the Department of Transportation (DOTr).

In Department Order 2019-007 signed on May 8 but was only sent to the media on Thursday, May 23, the DOTr introduced the “taxi modernization program,” amending the guidelines on premium taxi services.

“When our drivers are salaried, they do not need to rush on the road to maximize the number of passengers and flagdowns they could get in a day. We, thus, reduce the risk of road incidence,” Tugade said in a statement.

DOTr is also requiring the drivers to wear a uniform.

All premium taxis must now be at least Euro-4 compliant and not older than 7 years old as specified on its Certificate of Registration or the Motor Vehicle Inspection Station roadworthiness certificate.

Under the guideline, premium taxis will also be reclassified into “Silver” or “Gold” depending on their power rating, leg room, and luggage compartment, among others.

When applying for a franchise, the units must not be more than 3 years old upon application for certificate of public convenience.

Alternative vehicles may also be used for premium taxis such as electric vehicles with at least 100-kilowatt output and hybrid vehicles with at least 1800 cc rated engine displacement.

DOTr is also requiring premium taxis to have in-vehicle Wi-Fi hotspot, on-board navigation system or a mobile-based application, and dashboard cameras.

Payment should either be through cash or through automatic fare collection for cashless means.

The taxi modernization program will be implemented once the Land Transportation Franchising and Regulatory Board has issued a memorandum circular.

LTFRB Chairman Martin Delgra III told reporters that the MC will be discussed during the board meeting this May.

The premium taxi classification was first introduced in 2015 in a bid to improve the quality of service of the taxi industry amid the emergence of transport network companies such as Grab.

The taxi modernization program is line with the government’s policy on modernizing public utility vehicles in the Philippines. – Rappler.com

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Aika Rey

Aika Rey is a business reporter for Rappler. She covered the Senate of the Philippines before fully diving into numbers and companies. Got tips? Find her on Twitter at @reyaika or shoot her an email at aika.rey@rappler.com.