Political Editorial: Uber wins—what does this mean for Edmonton cab companies?

By Laura Bohnert

After the results of an Edmonton city council vote made back in January, Uber will be hitting the streets of Edmonton—legally—beginning on March 1, 2016. The council decision makes Edmonton the first Canadian municipality to legalize the ride-sharing service since its launch in Edmonton in 2014 (and its earlier launch in Toronto in 2012), but what does this mean for Edmonton cab drivers?

According to a recent press release, it means cab drivers are going to have to start being nice to their clients—and that rationality is actually forming the basis for their plan of action.

After some very vocal protesting that resulted in cab drivers getting banned from council chambers, cab companies have done an about face in their approach to their now-legal Uber competition. Their new plan includes modifying business practices to provide better service to clients, a plan which Abouzar Aslam, long-time cab driver and vice-president of the United Cabbies Association of Edmonton, states could go a long way in increasing cab business in Edmonton.

The plan, which largely focuses on respecting the client, includes such civilities as welcoming customers with a smile, opening and closing the cab door for customers, and encourages cab drivers to offer their customers gum, bottles of water, and even extra features on special occasions, like a red rose on Valentine’s Day. The plan also covers basic forms of etiquette, like avoiding answering calls while driving a client, as well as a few suggestions designed to appeal to the more xenophobic clients, like, when necessary to answer, answering the phone in English, and avoiding starting conversations with clients about religion or politics.

The plan for Edmonton cab drivers also emphasizes a few of the safety issues that have been concerning clients, urging cab drivers to keep their cars clean, inside and out, as well as to drive within speed limits and stay focused on the road. Cab drivers are also urged not to refuse trips based on the destination.

But the plan for upgrading cab service doesn’t stop at the level of the driver. As Aslam indicates, part of the cab company’s declining popularity has involved its failure to upgrade its technology. Cab companies now have phone apps, making hailing a cab a bit more user-friendly given modern technological trends. Aslam hopes customers will soon be able to rate individual drivers on their service, too, providing cab companies with a key Uber feature that will help guarantee more consistent and regulated customer service.

While cab drivers are focusing on customer service modifications that will help them bounce back in the face of their new-found competition, the legalization of Uber has factored in a bylaw that is helping to address some cab company concerns with Uber as well.

First, Uber drivers are required to get legal commercial insurance that is approved by the province. Further, a minimum price of $3.25 per ride has been implemented to prevent Uber from undercutting cab company rates, and council reserves the right to strengthen minimum and maximum rates in the case of price gouging or predatory pricing that would threaten to push cab companies under. Uber will also be required to pay a rate of $70,000 per year to operate in Edmonton.