The Minimum Effect of the Taxi Recapitalisation Programme on Precarious Working Conditions in South Africa’s Minibus Taxi Sector: An Industry Full of Pitfalls

ABSTRACT

The minibus taxi is currently the most common mode of transport in South Africa, particularly for the low-income population living in townships. Minibus taxis are also seen as most people’s only option for mobility. With regards to the public transport system as a whole, the minibus taxi industry accounts for 68% of work journeys, followed by buses and trains. The sector remains, in a structural sense, in the informal economy, but is increasingly subject to overlapping mechanisms of formalisation and informalisation. In 1999, the government launched the Taxi Recapitalisation Programme (TRP) to formalise or restructure the minibus taxi industry. Part of this programme was to scrap unroadworthy or unlicensed vehicles. However, these annual scrapping targets have not been met. In my research, I have carried out a total of 58 interviews on employment conditions in the industry using qualitative research methods. Many taxi drivers and taxi marshals are placed in precarious conditions on a daily basis. These conditions contradict those set out in the Basic Conditions of Employment Act, including the Sectoral Determination of compensation. While the government announced the TRP to formalise the industry, there continue to be difficulties and entanglements with formalising the industry that have adversely affected the impact of the programme. I argue that such pitfalls delay the transformation of the industry.

KEYWORDS:

• Taxi recapitalisation programme
• transformation
• formalisation
• pitfalls
• South Africa
• taxi industry

Disclosure statement

No potential conflict of interest was reported by the author(s).

Notes

1 Inyathi is a type of minibus in South Africa.

2 A14-seater minibus taxis.

Additional information

Funding

The research was funded by the NRF Freestanding, Innovation and Scarce Skills Development Fund Masters and Doctoral Scholarships 2018. Award number: SFH170601235836.