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Uber Drivers in Kenya Decry Huge Taxes

John Wanjohi Feb 23, 2021

Uber drivers in Kenya are up in arms over what they termed as harsh working environment and huge cuts on their trips.

John Kimani, the Chairperson of Uber drivers in Kenya explained how their income has dwindled due to increased cuts on their trips, with 25 percent going to the App company, 25 percent to the car’s owner, and another share to the city council and Communications Authority. Kimani drew a grim picture of their situation in the event of an Sh200 trip.

“25% of that Sh200 is taken by the app company. Another 25% is taken by the vehicle’s owner in cases where the driver is not the owner. The rest is taken by the city council, and Communications Authority, leaving the driver with Sh15 per trip,” he lamented.

Mt. Kenya Uber association chair Patrick Mwangi blamed the situation on the registration of ride-hailing companies as communication companies instead of transport companies, hence escaping certain cuts.

“The company takes away from us but is never taxed from their side because they operate as a digital company. They are registered by the Communications Authority and not by the transport authorities,” said Mwangi.

The situation is exacerbated by the unregulated entry of competitors into the market, leading to reduced fares and income.

The taxi drivers have pleaded with the government to treat them as employees and regulate the entry of new ride-hailing companies into the industry.

“The government should recognize us as normal employees, and let us enjoy NHIF, NSSF like other Kenyans,” said Mwagu Karanja.


 

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