Taxi 4 Groups "Withdraw Kakao Call Fare Increase... Tyranny Reaches Its Peak"
[Asia Economy Reporter Bu Aeri] The taxi industry protested on the 11th, demanding the immediate withdrawal of Kakao Mobility's unilateral fare increase for the Smart Call service without any consultation.
Earlier, on the 2nd, Kakao Mobility changed the fare policy for 'Smart Call,' a feature that allows users to get a taxi faster by paying more, from the previous 1,000 KRW to a range of '0 KRW to a maximum of 5,000 KRW.' ▶Refer to our exclusive report on August 4: Kakao Taxi raises the 'Smart Call fee' for faster dispatch up to 5,000 KRW
The four taxi organizations (National Taxi Labor Union Federation, National Democratic Taxi Labor Union, National Private Taxi Transport Business Association Federation, and National Taxi Transport Business Association Federation) issued a statement that day, raising their voices, calling it "the height of monopoly abuse by a platform company."
They criticized, "Kakao promised not to monetize the taxi call service, but earlier this year, it collected commissions from taxi drivers through a trick called Pro Membership, and now it has increased passengers' call fees by as much as five times."
The four taxi organizations expressed concern that "the unilateral increase in call fees, which is much higher than the base fare, will make taxi fare adjustments difficult, further deepening the overall deterioration of the taxi industry and the instability of drivers."
They pointed out Kakao Mobility's controversies over call monopolization, franchise fees, and expansion into proxy and quick services, stating, "Kakao's abuse is so severe that we cannot even expect basic business ethics, and as a leading IT company in our country, it shows no social responsibility."
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These organizations also raised their voices toward the Ministry of Land, Infrastructure and Transport. The four taxi organizations urged, "The government's responsibility is significant for Kakao's market monopoly and abuse," and called on the government to "establish institutional measures so that traditional industries can grow alongside new businesses."
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