Kazan taxi drivers claim a sharp decline in thier income

Drivers' earnings have fallen by an average of a third, in all major cities of the country

Kazan taxi drivers claim a sharp decline in thier income
Photo: коллаж "Реального времени"

Despite high inflation, taxi aggregators in Russia are in no hurry to raise the price of a trip, avoiding the attention of the Federal Antimonopoly Service. However, this provokes protests from drivers themselves, whose earnings have significantly decreased. “The general increase in prices outstrips the increase in taxi fares. It turns out that we are just getting poorer," Evgeny Titov, a taxi driver from Kazan and an activist of a local professional community, commented on the market situation to Realnoe Vremya. According to him, the situation can be fixed only by strict regulation of the market.

“Don't be a flour truck — get off the line!”

A wave of strikes swept across Russia: taxi drivers in Moscow, Yekaterinburg and a number of other cities went out to protest, claiming a decrease in their incomes. The organisers also appealed to their colleagues in Kazan to support the campaign, but there were almost no people willing to strike or there were so few of them that drivers did not notice them in their ranks. Several activists of the professional community told Realnoe Vremya about this.

However, Kazan taxi drivers confirmed a significant decrease in income. On average, earnings have dropped by 30%, they calculated. As in other megacities, drivers of popular services are unhappy with the increase in aggregator commissions, which reach 30-50%, which makes the work almost unprofitable. Discontent was also caused by the disabling of a number of functions, such as “increased demand”, which allowed them to earn more during rush hours.

Kazan taxi drivers confirmed the decrease in income. On average, earnings have dropped by 30%, they calculated. Максим Платонов / realnoevremya.ru

“Prices are rising for cars (30-40%), spare parts (60-70%), rent (~20%), fuel (~20%), food and clothing (indefinitely). And only taxis, according to experts, should not become more expensive, fulfilling a social mission," the authors of the leaflets, which were distributed to chat rooms and taxi drivers' groups, write.

According to them, the past year has been difficult for drivers, while “Yasha” (Yandex) helped passengers in every possible way by lowering price tags and introducing new “Lucky” and “Fellow Travellers” options. At the same time, “basic tariffs do not cover the cost of a car (rent or purchase, refueling and repair)," and “the slightest kef (increasing the coefficient to the standard tariff during periods of high demand) causes panic” among passengers on social networks.

“We need to start acting," the authors said at the end of the appeal and urged taxi drivers not to go to work in the evening of one of the January days: “Don't be a flour truck — get off the line.” In slang, taxi workers are called “flour trucks” by drivers who take all orders in a row, including inconvenient and too cheap ones, thereby betraying the interests of their colleagues.

Expenses increase, while incomes fall by a third

Taxi drivers are demanding that aggregators improve working conditions and increase fares for passengers. However, companies are afraid to raise the prices of trips, not wanting to attract the attention of the antimonopoly service. As a result, taxi drivers' earnings are falling.

“Yes, the average monthly salary has dropped, but I'm still trying to keep it at the same level, because I have to. Everyone says that incomes have fallen, but that's not the point. General increase in prices outstrips the increase in taxi fares. It turns out that we're just getting poorer. In other words, expenses have increased for everything, but incomes are not increasing," Evgeny Titov, a taxi driver from Kazan and former trade union member, told Realnoe Vremya.

Another reason for the decline in income is the seasonal factor. Every year, the period after the New Year holidays and up to the May holidays is called the dead season by taxi drivers due to a decrease in demand for trips. “In winter, all drivers feel a decline in income and panic begins. No one ever talks about strikes in summer or autumn, when it's the season," the taxi driver explained.

“Income has probably dropped by 30%. This is significant for us, prices for everything have gone up. I'm not talking about simple costs — only those related to professional activity. Spare parts have gone up a lot, and people's rent has increased. And then we have the bulk of the self-employed left. It turns out that we give almost 20% to Yandex, plus another taxi company, and another tax, so count it yourself. We even pay with the expense part, that is, we get double tax," complained Luisa Badreeva, a resident of Kazan, the winner of the Best Taxi Driver in Russia contest.

“If earlier the profit was on average 700 rubles per hour, now it is much less, because you need to pay Yandex fees, self-employed tax, and if you work through a park, you also have to pay park fees. It's good if you have your own car, if not, you also have to pay for rent from 2 to 3 thousand rubles a day. In principle, you can earn 10,000 rubles a day if you work 14 hours a day, but you have to deduct 3,000 rubles for gasoline, 2,000 rubles for depreciation and other expenses for the car," added Artyom, another Kazan resident and taxi driver.

Will the expulsion of migrants change the market?

While some taxi drivers are demanding higher fares, others believe that the situation can be influenced in another way. This is partly why many of them decided not to support their striking colleagues.

“I hope more for the decree of the rais of Tatarstan, which is due to be implemented in 2025. If I'm not mistaken, it takes three months for people without Russian citizenship not to work in the taxi industry in Tatarstan. This, at least, will remove unnecessary taxi drivers on the road. The problem here is complex. No one controls the market, does not check those who work in taxis, whether they comply with the new law. Today, absolutely anyone who wants to work in a taxi. If the market is regulated correctly, drivers will whitewash themselves, and tariffs will rise by themselves, Yandex will have to raise them, Titov believes.

According to them, the past year has been difficult for drivers, while “Yasha” (Yandex) helped passengers in every possible way by lowering price tags and introducing new “Lucky” and “Fellow Travellers” options. Максим Платонов / realnoevremya.ru

Now, according to him, this is not happening, because aggregators “are not profitable, they are very greedy, they do not need drivers to earn a lot — only for passengers to go.” It is taxi drivers who suffer in this system, and it needs to be changed, he is convinced: “It is we who bring money to Yandex, not passengers. Because we pay it a commission, and in fact, we are considered its clients. But, judging by their logic, customers are passengers and it is built only for them. What about a taxi driver? Well, if his car breaks down, a new one will come.”

“The current tariff is designed for that we drivers, by not fully complying with the taxi law, save on some items of expenses. If full control begins: medical examination, technical inspection, travel documents, and so on — this will create entire structures, respectively, the driver will already have to bear these additional costs. As soon as this happens, drivers will pay in full plus Yandex's exorbiant commission. Then either there will be no drivers left, or aggregators will have to raise fares in order to attract drivers to this area," the taxi driver is convinced.

Realising that purchasing power has declined due to high inflation, market participants call the need to raise taxi fares a necessary measure. Otherwise, taxi drivers will be forced to look for other more profitable jobs, and the quality of service will suffer.

“If we compare with last year, then we, Tatarstan, were covered with snow and the coefficients increased. Generally speaking, we taxi drivers mostly survive due to increased fares. If we use the usual Yandex rates, we will go in the red, not even breaking even. We won't even be able to cover our expenses. As a passenger, you understand that there are times when your order for 200 rubles goes up to 600 rubles during rush hours. It turns out that one thing overlaps with the other, and we live by it," explained Luisa Badreeva.

“We taxi drivers mostly survive due to increased fares. If we roll in the usual way, we will go in the red, not even breaking even.”. Максим Платонов / realnoevremya.ru

However, now, according to her, Yandex has started to cut these coefficients for us very much.” Taxi drivers are told that there are too many cars in the area where the order was placed. “But drivers say they are being blocked: someone doesn't have permission, someone else has something else. That's why it doesn't fit," the taxi driver doubts.

At the same time, the majority of Kazan taxi drivers do not believe in the effectiveness of strikes, and some simply cannot afford not to go on the line. Yandex is unlikely to cooperate. A small group of people who are in their cars probably may not get on the line. But people who rent will not support such actions. I usually try to help my colleagues. Every time you hope: maybe this time everything will work out, but it doesn't happen," complains Luiza.

Realnoe Vremya also contacted Yandex.Taxi with a request to comment on the statements of taxi drivers about the decrease in earnings, as well as to answer the question: does the company plan to change its tariff policy or take measures aimed at increasing the incomes of taxi drivers?

“The service is operating in usual mode. We will inform you in advance about changes in the tariff policy when and if they occur," the Yandex Go press service limited itself to a concise response.

Vasilya Shirshova

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