Taxi Drivers to Get First Raise in 10 Years, Riders to Pay 23% More

Taxi Drivers to Get First Raise in 10 Years, Riders to Pay 23% More

As a result of the first rise in taxi fares in ten years, New York City taxi drivers will see an increase in their pay. On Tuesday, the Taxi and Limousine Commission authorised fee increases for yellow cabs, raising the average fare by an estimated 23%. The per-minute and per-mile fees for for-hire vehicle services like Uber and Lyft will also increase.

The adjustments will increase the base cost for yellow taxi passengers from $2.50 to $3.00. There will be a $1.50 rise in the rush hour surcharge, a 50-cent increase in the overnight taxation, and a new $5 tax added to all trips to and from LaGuardia Airport. The tax for cab rides to the Newark Airport would also rise from $17.50 to $20.

Taxi flat rates from JFK Airport to and from Manhattan will increase from $52.00 to $70.00. The hourly cost for drivers of black cars and app-based vehicles will increase by 7.8%, the first increase in a driver’s hourly rate since 2019.

According to the TLC, the higher rates will boost driver income by 33%, which is good news for taxi drivers who have battled with competition from app-based businesses and the pandemic’s effects on city traffic. As of July, over 6,300, or 47%, of the 13,500 yellow cabs in the city were no longer operating.

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Taxi driver Saibou Sidibe, a yellow cab driver since 2002, stated after the vote that it would assist him and his passengers put a few more dollars in their pockets. Richard Chow, a 17-year taxi driver and medallion owner, also attended the vote.

Kenny, his brother, committed suicide because of his financial situation. This helps me, he replied. After the agency’s board overwhelmingly approved the fare increase, Taxi and Limousine Commissioner David Do was greeted by Chow and other drivers and posed for a photo with them.

Do state in a statement that raising taxi fares and the minimum wage for high-volume drivers was the proper course of action for the city. “These rises will assist balance rising operational costs and the cost of living for TLC-licensed drivers. This is the first increase in taxi fares in ten years. We are sure that the unanimous commission vote of today will maintain the viability and readiness of our taxi and FHV fleets to serve New Yorkers.

According to officials, the increased prices will take effect before the end of the year. The president of the Independent Drivers Guild, a group that advocates for some app-based drivers, Brendan Sexton, claimed that “gas prices and expenses have surged in the previous two years, and rideshare drivers are trying to make ends meet.” The minimum wage rise is crucial to protect the 80,000 rideshare drivers that keep our city moving.