"Antiquated" and "backward": Uber fires against reform of the transport service market

Monday, February 22, 2021

"Antiquated" and "backward"
Uber fires against reform of the transport service market

The federal government wants to open the transport service market to new providers – actually also in the sense of Uber. The reform does not go far enough for the transport service broker, he criticizes it as "backward regulation" and at the same time defends himself against allegations of dumping: one respects the social standards.

The transport service broker Uber has rejected allegations of social dumping and at the same time criticized the planned reform of passenger transport law in Germany. Uber Germany boss Christoph Weigler said: "The amendment is symptomatic of how difficult Germany is with digitization. It does not serve the interests of consumers. There is not much left of the good intentions in the coalition agreement."

Germany threatens to fall behind with a "backward regulation" in international comparison. Weigler is one of several experts at a hearing in the Bundestag's transport committee on the federal government's draft law.

"The obligation to return is antiquated"

The coalition wants to make it easier for new providers to enter the taxi and driving service market, most of which are ordered via app. Existing offers are currently running on the basis of an experimentation clause. However, there is sharp criticism of the reform – both from the new providers and from the classic taxi industry. "Above all, the adherence to the obligation to return inhibits investments in modern mobility offers in Germany," said Weigler. "This is especially bad for rural mobility. The obligation to return is antiquated."

The obligation to return for so-called rental cars without an order states that vehicles from these agents must return to the company headquarters after every trip and, unlike classic taxis, are not allowed to wait on the street for customers. In principle, the obligation to return should be retained. According to the draft law, loosening of long distances should be possible, which should be determined by the municipalities.

Taxi trade against abolition of the obligation to return

Taxi drivers protest in Berlin on February 19 against the reform of the Passenger Transport Act.

(Photo: picture alliance / dpa)

The taxi industry had strictly refused to abolish the obligation to return. The industry is also demanding improvements to the draft law. During protests, the Berlin Taxi Guild criticized that the Union was planning a license for Uber. Weigler defended the pricing system at Uber: "We stand by a demand-oriented price and the system of supply and demand. When you go on vacation in midsummer, the flights are also more expensive than in the off-season. In the past it has also happened that the price doubled or tripled. That was a mistake and is long gone. "

The Uber Germany boss also rejected allegations of social dumping: "We respect and respect social standards in Germany and contribute to better compliance with social and tax laws through cashless payment systems. The drivers are also with the business partners we refer to, Employed subject to social security contributions and generally earn significantly more than the statutory minimum wage. We therefore cannot understand these allegations. "

Baden-Württemberg's Transport Minister Winfried Hermann recently said in the Federal Council that there were no "anti-dumping" rules in the draft law. It must be prevented that there is only one winner of the reform, namely the "Ubers of this world", who have no social standards, but flood the streets in the cities. Weigler went on to say: "Above all, we have to have a debate about how we can achieve a decrease in the number of private cars in the city centers. But that is currently going under."