Seoul considers increasing taxi fares

Seoul City is considering increasing taxi fares to help ease driver complaints over low incomes. / Korea Times file

By Park Si-soo

Seoul City is considering increasing taxi fares to help ease driver complaints over low incomes. The city government held a policy meeting on Thursday, during which city officials and external experts discussed various measures.

Two options were at the center of the discussion: increasing the basic fare to 3,500 won ($3.09) from 3,000 won ($2.65) and to between 4,600 won and 8,000 won.

The city suggested the first option while taxi associations suggested the second.

“We put more weight behind the first option, although the second option is on the negotiation table,” a Seoul official said.

Taxi associations claim the second option is a more realistic solution for the problem.

“The basic fare should go up at least to 5,000 won to ensure taxi drivers have normal lives,” an association member said.

There are about 70,000 taxi drivers in Seoul and their average monthly income is 2.2 million won ($1,940), a little more than the nation’s monthly average household income of 2.19 million won, according to city data.

To make that income, taxi associations say, cabbies spend about 10 hours behind the wheel daily, while bus drivers work eight hours a day and make 3.03 million won a month.

“We work more but are paid less,” the association member said. “An overhaul of the compensation system is the only measure that will settle the problem.”

Seoul plans to decide on the matter after collecting opinions from citizens, experts and related organizations.

Seoul’s last taxi fare adjustment was in October 2013. The city then increased the basic fare to 3,000 won from 2,400 won. Under the present system, the basic fare covers the first two kilometers of the journey and the charge is then 100 won per 142 meters.