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Cab wars: New study confirms public backing for Uber service

Following the release of a study this week, Guadalajara looks to be one step closer to creating a new set of regulations to govern companies such as Uber that allow customers to use smartphone-based apps to order and pay for taxi rides.

The arrival of Uber and similar firms has provoked the wrath of licensed yellow cab drivers who are seeing their monopoly gradually eaten away as customers – especially the young – opt for the ease, comfort and cost advantages of  tech-driven services.

A survey requested by the Secretaría de Movilidad, Jalisco’s transportation agency, has indicated that the overwhelming majority of Tapatios are in favor of the new taxi services and would welcome regulations to allow them to operate legally.

Those questioned in the survey gave Uber and City Drive an average 9.6 out of ten rating, while traditional yellow cabs received 6.3.

The 143-page report carried out by the  Instituto de Movilidad is expected to serve as the premise for the elaboration of legislation that will provide a framework for Uber and similar services to operate.   The initiative could be sent to the Jalisco Congress as early as next week.

The rules are expected to oblige the firms to pay statutory benefits for their drivers, who may be required to have special “chofer” category licenses.  What remains unclear is whether Uber vehicles will be required to obtain the same “permisos” (permits) as existing yellow cabs, or whether a new “registration” category will be created.  

Around 3,000 Uber and 256 CityDrive cars are offering service in the Guadalajara metropolitan area, compared to 12,048 yellow cabs with “official” permits.  To safeguard the livelihoods of their members, taxi unions in the city want authorities to either ban the new services, or at least severely limit the number of permits they are allocated.

Reports from state government sources suggest Uber will be allowed to operate and the traditional services encouraged to modernize to compete with them.

Several sitios (taxi stands) in the metro area have already developed their own apps that allow them to accept rides by smartphone, and state authorities are working with unions to introduce platforms to be used in yellow cabs that are similar to those used by Uber and CityDrive.

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