- Title: Minibus taxi drivers in South Africa strike over lack of government support
- Date: 22nd June 2020
- Summary: SOWETO, SOUTH AFRICA (JUNE 22, 2020) (REUTERS) VARIOUS OF EMPTY TAXI RANK VARIOUS OF PEOPLE QUEUEING FOR BUSES SOUNDBITE (English) TAXI COMMUTER, TIYANI RIKHOTSO, SAYING; "People are losing a lot of jobs because of this COVID-19. It's worse because the taxis are on strike right now, people are going to be fired at their work place." VARIOUS OF QUEUE FOR BUSES ALEXANDRA, SOUTH AFRICA (JUNE 22, 2020) (REUTERS) (SOUNDBITE) (Zulu) SOUTH AFRICAN RESIDENT, STANLEY MAPHOSA, SAYING: "Some of us are going to work, we can't walk to go to work though. We work in Johannesburg city and it's too far - now we have stay at home because there are no taxis and we don't know what to do." SOWETO, SOUTH AFRICA (JUNE 22, 2020) (REUTERS) VARIOUS OF QUEUES ENTERING BUS TERMINAL BUSES
- Embargoed: 6th July 2020 12:01
- Keywords: South Africa coronavirus taxi driver strike
- Location: SOWETO, ALEXANDRA, SOUTH AFRICA
- City: SOWETO, ALEXANDRA, SOUTH AFRICA
- Country: South Africa
- Topics: Health/Medicine
- Reuters ID: LVA001CJGCOQV
- Aspect Ratio: 16:9
- Story Text: Thousands of commuters travelling to work on Monday (June 22) were left stranded in South Africa's financial hub as drivers of minibus taxis, by far the largest mode of public transport, went on strike demanding more financial support from the government.
Since the coronavirus shutdown began in late March, taxis have been permitted to operate at only 70% capacity under strict social distancing rules, a difficult feat with thin margins in an industry dependent on maximum passenger loads at low fares.
The loss of income from smaller loads and much lower volumes due to the shutdown, which saw most workplaces completely closed, has caused unrest in the largely unregulated but massive industry, with operators threatening price increases of more than 100% in some areas to cover losses.
On Friday (June 19) Transport minister Fikile Mbalula announced a one off 1.1 billion rand ($63 million) payment to properly registered taxi operators, amounting to roughly 5,000 rand per driver, but said it was not "compensation for loss of revenue as a result of COVID-19 restrictions, but rather assistance by government".
But taxi operators rejected the relief and the conditions linked to the government's plan to formalise the industry, and on Monday dozens of taxis blocked busy roads in Johannesburg and Pretoria, confronting police and the army and leaving hundreds unable to make it to work.
The Transport Ministry and the taxi drivers associations are set to met again on Tuesday.
Transaction Capital's dedicated minibus division SA Taxi, whose gross loan book is about 11 billion rand ($633 million) said this year there were more than 250,000 minibus taxis in operation in South Africa, accounting for 68% of all public transport trips.
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