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Dáil Éireann debate -
Wednesday, 3 Jul 2013

Vol. 809 No. 3

Taxi Regulation Bill 2012 [Seanad]: Second Stage (Resumed)

Question again proposed: "That the Bill be now read a Second Time."

I welcome the Minister of State at the Department of Transport, Tourism and Sport, Deputy Alan Kelly, to the House and acknowledge his hands-on approach to the transport portfolio. He is doing good work on the taxi industry. For example, he met all the key stakeholders and chaired a review group established early this year to examine ways to improve legislation on the taxi industry.

I have the greatest respect for the vital job that is done by taxi service operators as I see it at first hand every day in my Longford-Westmeath constituency and Dublin city. Taxi men and, more recently, taxi women have served their communities for generations. The sector makes an essential contribution to urban life and has helped rural areas move from isolation to connection.

Front-line workers such as taxi drivers must be protected. Taxi drivers are akin to emergency response personnel in that they work irregular hours, away from their families, with no set or guaranteed income at the end of their long working day. They must often wait for long periods in taxi ranks before being called into service. In performing their role, they provide a service to people when it is needed. The burden and sacrifice attached to their job adds a certain amount of hardship and stress.

In the past ten years, taxi drivers have been squeezed by improper and excessive regulation which has been imposed from the top down. Licensed taxi service owners are being threatened daily by illegal operators because enforcement has failed. It is now proposed to remove the right of taxi operators to pass on their businesses to their children. I am concerned about the adverse effects this proposal will have on established licensed taxi service operators. Deregulation in other areas is also destroying the taxi service business.

The enforcement of small public service vehicle rules, which is undertaken by the Garda Síochána and National Roads Authority compliance officers, is not working owing to the excessive amount of cross-compliance. The taxi sector is a good example of an industry that has been over-regulated. Before the Minister of State assumed responsibility for the taxi sector, the voice of the ordinary taxi driver working at the coal face of the business had been seldom, if ever, heard. Taxi drivers deliver the service on the ground and listen to users' views on where services could be improved.

In the past decade, far too may changes and demands have come from the top down. Licensed taxi service owners are finding it more difficult by the day to juggle the demands of work, legislation, deregulation and family life. Taxi operators who started operating prior to deregulation and have built successful businesses through hard work, often to the detriment of their health, have fallen victim to the actions of illegal operators. The problem is not small public service vehicle requirements but the fact that illegal operators are falling through the cracks in terms of enforcement.

I understand the Commission on Taxi Regulation was established for the purposes of bettering society, improving the security of taxi operators and the general public and delivering a better licensed taxi service. It is heart-breaking that hardworking taxi operators who work long hours as they seek to provide for their families in a difficult and competitive sector are falling victim to legislation which could victimise them and their families by removing the right to pass on their business, except in the event of death of a licence holder. I ask the Minister of State to provide greater clarity on this issue and the provisions of section 2. This proposal runs counter to competitive norms and will act as a major disincentive to enterprise. No one in his or her right mind could condone such a rule. By virtue of their self-employed status, taxi drivers lack certain entitlements. For this reason, we must ensure that, in common with farmers and the owners of land, shops and other businesses, the owners of taxi businesses are allowed to pass on to their children the business they have built up. The current draconian provision should be removed from the Bill to allow taxi drivers to operate in a manner similar to other businesses.

This Bill is the most forward-looking and comprehensive legislation on the taxi sector since the foundation of the State. It replaces a 2003 Act which was written in great haste following a court case and corrects many of the mistakes Fianna Fáil-led Governments made. The current legislation fails to protect consumers and taxi drivers. This Bill will bring to an end the practice of turning a blind eye to taxi regulation and allowing irregularities to continue unchecked. Its main provisions include mandatory disqualification from holding a licence on conviction for certain offences. This provision will be implemented through an amendment to section 36 of the 2003 Act.

The Bill provides for suspension or revocation of a licence or refusal of a licence application, having regard to the suitability of a person to hold a licence, based on, among other considerations, convictions for relevant offences or breaches of taxi regulations. It will remove certain categories of criminals from the taxi sector. When the Garda refuses to grant a person a taxi licence, he or she is able to win on appeal because of the flaws in the old legislation. I am delighted this section is being changed in the interest of public safety.

Taxi drivers should not be allowed to stop suddenly on a main thoroughfare on a busy evening to collect passengers. I have often had near misses as a result of such behaviour and have received many other complaints on the issue. This is a practice that should come to an end and should be liable to a very severe penalty. I hope we will see the use of cameras, CCTV and other apparatus for the enforcement of laws and for this evidence to be used in court proceedings. I was alarmed when I heard of a recent report which pointed out that one in three taxi drivers had experienced threatening abuse and violence against them in the past five years. This is shocking and to prevent this type of behaviour we need enforcement of the law regarding security by way of CCTV cameras and other apparatus.

The often hidden but nonetheless increasingly important service and supports some taxi drivers provide to people with disabilities must be acknowledged. I would fully support extending the excise duty rebate that was given to private bus operators and goods vehicles in last year's budget. This is something that should be considered. Perhaps the Minister of State might bring it to the notice of his colleagues, the Ministers Deputies Noonan and Howlin. It would be very welcome if it were implemented in the forthcoming budget.

Over the years I have worked with many different groups and organisations in my constituency of Longford-Westmeath in an effort to bring about improvements in the day-to-day lives of ordinary families and businesspeople, who have seen their livelihoods destroyed by the recession. I have also worked closely with the Government to improve their circumstances. I meet groups of taxi drivers once or twice a year and they always express their concerns. They are very reasonable people who carry a vast amount of knowledge. They have their fingers on the pulse and provide an insight on how the country is going, the views of the people, etc. We would not need all the opinion polls we see in the media if we listened more frequently to the concerns and issues taxi drivers raise with public representatives.

I welcome that the Bill will give powers to the licensing authority to suspend or revoke a licence for non-compliance with the law. An area that needs to be addressed and cracked down on is taxi operators who hire undocumented immigrants and pay them a pittance. Only a very small minority carry on in this fashion but it is unfair to the legal operators who run their business within the law. As we know, every year thousands of people enter our country legally and another few thousand people come without authorisation or overstay their legal visas. It is rumoured that some of those are employed in the taxi trade. Companies or individuals who hire undocumented workers in this area or any other area are just as guilty of breaking the law as the people they hire and I understand the Bill addresses this ongoing issue.

Customer safety must be a top priority and we must ensure that adequate background checks are done on all would-be drivers and licence holders be they Irish or non-Irish. If this necessitates contacting foreign embassies for further clearance, then so be it. All passengers must be assured that they are travelling with trustworthy individuals. It is important that we require all companies in the taxi business and elsewhere to be in compliance with the law, as we need to hold everyone accountable.

While the Government is ensuring new employment eligibility verifications are being put in place, not alone for taxi companies but for all companies, the odd one still slips through the net. We have made it mandatory for employers to verify that their employees are legally eligible to work in the State. We all know and recognise that the taxi service in Ireland is extremely important to the economic profile of many of our towns with foreign investment, particularly those that do not have a rail service. Taxis provide an essential countrywide service and it is important that it is maintained, enhanced and upgraded.

The rural transport project has proved to be a wonderful success story and has given rural people a wider choice in addressing social exclusion in rural areas and providing a door-to-door service to the most vulnerable in our society. I welcome the provisions in the Bill relating to the rural hackney service, which will give rural people a wider choice. In recognition of the lower levels of access to taxi or hackney services in rural areas, this is very welcome. Many people in rural areas are isolated in their homes. It will provide support to small rural pubs and other businesses. I hope it will enhance the lives of many people in such areas.

I wish to share my time with Deputy Mattie McGrath.

Tá a fhios againn go bhfuil deacrachtaí agus fadhbanna ag tiománaithe tacsaí, agus tá cuid de na freagraí sa Bhille seo, ach ní dóigh liom go bhfuil na freagraí go léir ann. I have lost count of the number of taxi men and women I have met recently who tell me of the difficulty of making a living from driving a taxi. Some other regulations that have been introduced seem to be making life particularly difficult for them. Nobody objects to regulation provided it is fair and equitable and has the best interests of those it is trying to regulate at heart. I know the objectives of the regulations relate to the quality of taxis and ensuring the safety of taxi passengers. At the time the 2003 Act was introduced, we had a quality service and passengers were generally safe. Back in the 1970s when I probably used a taxi for the first time, I was aware that we were getting a good service.

However, that does not mean there were no areas in need of reform or regulation.

One issue of major concern to taxi drivers is oversupply, but that is the one issue the Bill does not address or try to regulate. I come from Dublin Central and I see the queues of taxis all the time waiting for fares. There is visible evidence of oversupply. Only yesterday I had to take a taxi. The man told me that I was the second fare in six hours. We know that the large increase in numbers started in 2000. In 2011, the taxi review group stated that the oversupply was between 13% and 22% but I reckon that is something of an underestimate. It is surprising that the taxi review group did not recommend capping numbers.

No doubt when the downturn came it was easy to get a taxi plate. Taxi drivers whose sole means of income was driving a taxi faced severe competition from double jobbers and the increase in those who found it so easy to get a taxi because it seemed to be the answer to the lack of jobs. Had that been handled more efficiently, we would have had a better industry. I believe that lack of regulation opened the floodgates.

As with most jobs, it is all about exits and entrants, but in the taxi business the numbers are not matching. Far more are entering than exiting and this makes it very difficult for taxi drivers to earn an adequate income. This results in their working longer hours and sometimes working beyond the time they should be working. There are resulting issues relating to health and safety. If they work in excess of the permitted time, they could pose a serious risk to themselves, to passengers and to other road users. Therefore, tackling the number should be the first step.

I wish to draw attention to one particular example. Let us consider the lines of taxis waiting on a fare. That can take several hours, but there are parts of the inner city where these lines are not near public toilets and where it is not possible for the taxi drivers to get to a public toilet, with the unfortunate consequence of nearby lanes and corners being used as urinals. This has caused much annoyance to communities in the inner city, who have had to walk past. It has meant that the local authorities have had to carry out a good deal of power washing in these particular areas as well.

One cannot blame drivers for leaving the engine running for heat in cold weather but it is not economical or environmentally friendly. Coming along Dame Street last Friday night was rather like taking my life in my hands because of the number of taxis double-parked and idle, trying to pick up fares. I know the arguments against the regulating of numbers relating to competition, ensuring an adequate supply, ensuring new entrants, ensuring customers have a good supply and the fact that if the competition is not intense then standards will fall. However, I do not necessarily agree with all of that. The Indecon report noted that attempts to restrict numbers have led to difficulties because regulators were not especially good at estimating the level of supply needed to meet demand. However, that is no reason not to try to regulate the numbers to ensure reasonable competition, an adequate supply of taxis and that taxi drivers can earn a reasonable income and work reasonable hours.

Let us consider other jobs and professions that have incentives to retire. I realise taxi drivers are self-employed but perhaps there is a need for some incentives to encourage retirement in certain areas to bring about some matching between entrants and exits. I do not believe the industry can take any more new entrants at this point, certainly not in Dublin. However, I support the comments of other Deputies about rural areas because certain rural areas could do with a more comprehensive taxi service. We know about the sadness and loneliness in isolated parts of rural Ireland and the social consequences. I believe there is a role for the taxi industry in that regard.

One implication of the new mandatory disqualifications for the conviction of certain offences is that some current drivers may lose their licences. That is fair enough if it is warranted but I hope there will be a fair system, that there will be an appeals system and that it will not be used as a way to restrict numbers.

In the past, the number of taxis was inadequate to meet demand and finding a taxi at certain hours, on certain nights or on certain occasions was like finding gold-dust in the city. Securing a plate almost required gold-dust as well, such were the costs in those times. I recognise that we have no wish to go back to that, but nor do we want what is happening now, which is an oversupply, long and unhealthy hours and too many drivers seeking too few fares.

There is an issue with wheelchair-accessible taxis, which are badly needed. I believe those taxi drivers do a fantastic job. However, the number of specially-adapted wheelchair-accessible taxis is falling. There are very expensive to buy, adapt and maintain. Everyone agrees with taxis being properly maintained and kept in good condition but I believe the economic downturn is causing severe difficulties for taxi drivers who are trying to replace such vehicles. That should be examined as well.

Another issue has come up recently in Dublin. Taxi drivers who normally work at the rank at the Gresham Hotel are going to be moved because of the Luas works. They are being moved from a prime location that accommodates many on O'Connell Street to an area where there are only a few spaces on a small street off O'Connell Street. This will put additional stress on these men and women who are looking for fares.

Another thing struck me when I was reading the Bill. It is a case of too many chiefs because the National Transport Authority, the Taxi Regulator and the Garda Síochána are all involved. Let us consider one example. The Garda Síochána issues small public services vehicle, SPSV, licences. The NTA administers the test. Then it is back to the Garda to certify that the person is fit and proper. Then the NTA issues the SPSV licence. There seems to be a lack of co-ordination between all of these. Surely, one authority could do all of this.

Before I finish I wish to acknowledge the increasing difficulties for taxi drivers. This has resulted in an increasing number of suicides among taxi drivers. I also wish to acknowledge that they do fantastic charity work. We see this in Dublin on certain occasions and the charitable organisations with which they are involved are grateful. On the downside, they take chances and we have all seen examples of U-turns in the middle of the street and of stopping in the middle of the road to let fares out. We know that there is something of a love-hate relationship between taxi drivers and cyclists. However, if they could operate on the basis of mutual respect and if each of them kept all of the rules of the road, it would be better. I will leave it at that.

Deputy, you are in possession and we have no other speakers offering. Deputy McGrath has spoken previously and so he cannot contribute a second time on this debate. Will you move the adjournment, please?

I came especially to support my colleague, the Minister of State, from Tipperary.

Thank you, Deputy McGrath. The record shows you have already spoken on Second Stage.

Debate adjourned.
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