E-hailing Drivers Receive 3 Months Extension, So Who Won?

Among the assemblymen in the new Government who has been seen delivering on his duty is the Transport Minister, YB Anthony Loke. The brash, sharp, point for point speaking Minister oversees an array of portfolio which includes land, sea and air transport, a load not easy to manage. Despite just being on the job for a year, Loke has learned up his ministry very quickly and is on the ball on most of the matters affecting the country’s transportation system.

However, there is a thorn prickling at his office that has caused much distress and is finding its way into the halls of parliament. E-hailing service changed the way we look at taxi’s, around the world there has been mixed response with this new digital technology, from its birth place in US to cartel operated taxi drivers in Europe, resistance to E-Hailing has been futile. Back home Mr. Loke is also having his initial problem in implementing the much despised licensing program, PSV or Public Service Vehicle license which is modeled after the United Kingdom’s. Drivers are viewing the license as a way to regulate them and rather forgo operating the service altogether. Most drivers are part-timers and have in-between jobs, they also prefer the anonymity just filling in the time to earn an extra ringgit. “With the process of licensing we feel we will be regarded as taxi drivers and if that’s we wanted we would have done that long ago” said a driver we spoke to.

According the Grab, the largest E-hailing operator in the country claimed that is had experienced a 20% drop of number of driver-partners on the road on D-Day which was yesterday, and caused difficulties for passengers in getting a ride. A few days before, news reports emerged that drivers will boycott, passenger will have to wait longer and fares might be going up substantially, causing panic among users. Jabatan Pengangkutan Jalanraya or JPJ announced that only 10% of drivers have so far applied for the PSV despite 12 months lead time, this prompting the Minister to go back to the cabinet to request for a 3 month extension. Bearing in mid this is the same minister who had been adamant in sticking to the deadline of July 12.

Between A Rock and Hard Place

Calling the extension a soft-landing, the Minister has given the operators and drivers a moratorium but will this change the perception abut PSV, we shall find out in October. In the mean time, Grab has welcomed the decision but the company was in the thick of things whereby statements were made by certain parties calling out Grab drivers who were given 12 months to complete the process, and are now making excuses and left things to the last minute. Grab argued that key requirements like training and examinations were only formalised three months ago and only had days to sort out other matters such as e-hailing sticker designs. Excuses?

Grab has assured that in the next three months, it will help driver-partners reduce the costs and time involved in meeting the various regulatory requirements which it calls an ‘unprecedented regulatory process’. Its unclear how it plans to ensure all drivers in 25 cities in Malaysia get their PSV licenses when the issue is not finances but psychology. The Minister has succumbed to the resistance, he even called out E-Hailing operators of raising commissions and instigating drivers to not sign up for the PSV regulation. Looks like there are under currents and unseen forces at play in this saga. The operators and drivers have won this battle but the storm has not cleared, Loke is not about to lose sleep over the back stepping, the Minister is masterful and will surely be back with a concrete plan.

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