Taxi-drivers’ Strike against Auction of their Operation Licenses, Taicang City, Jiangsu Province

22 March 2005

Broadcast on 22 March 2005

Starting from 21 March 2005, about 300 taxi drivers launched a strike to protest against the government’s measure of redeeming their operation licenses for auction purpose. CLB interviewed a managerial staff of Xunda Taxi Company on 22 March but he denied the existence of the ongoing strike.

Taxi Company:
Why don’t you ask the Traffic Control Bureau?

Han Dongfang [Han]:
How many of your drivers haven’t come to work?

Taxi Company:
They are all working.

Han:
Isn’t a strike going on?

Taxi Company:
Of course not, nothing like that happens here.

Han:
No strike at all?

Taxi Company:
You better ask the Traffic Control Bureau.

An official from Taicang City’s Traffic Control Bureau admitted that it had been the second day of the strike but she commented that it was an unreasonable action. Yet, just after a while, she started to believe that drivers did have their reason to have this industrial action.

Taicang City’s Traffic Control Bureau:
It was yesterday [when the strike first started].

Han:
Did it start yesterday?

Taicang City’s Traffic Control Bureau:
Today, the leaders have told them that we would give them a reply next Monday. Why can’t we solve the problem peacefully? Those taxi drivers are just so unreasonable.

Han:
What are their major demands?

Taicang City’s Traffic Control Bureau:
I don’t know about the details.

Han:
Then how can you say that they are unreasonable if you don’t even know about their demands?

Taicang City’s Traffic Control Bureau:
Well, didn’t the leaders tell them that they would give them a reply next Monday? But they just behave like this.

Han:
You mean they continue the strike?

Taicang City’s Traffic Control Bureau:
Right. You know, we have policies to follow from our senior ranks and they tell us how to deal with the taxis. There are many regulations, such as how long the validation [of the licenses] is and how to deal with it. The main problem now is that when they want to leave the industry, they sell their taxis to someone else. It is not allowed according to the regulations. Such a transaction is illegal and they do it underground. [When the government takes back their operation licenses, the one who bought the taxi] he would say he hasn’t earned the capital back and challenged the redemption.

Han:
But the transaction has always been going on and if suddenly changes are made, such as a charge imposed, it will affect those drivers financially. Don’t you think the government and drivers could try to figure out the middle ground together?

Taicang City’s Traffic Control Bureau:
Haven’t I told you that our leaders, you know... the seniors have already had their policies? I know that the drivers do have their own reason.

A striking driver told CLB that on 21 March that eight drivers were shortly detained when they tried to persuade other drivers to join the strike. The police released them after a few hours of detention.

Striker:
We want to strike, to get together, strike and see what the government would offer us. Basically everyone joined the strike. Yesterday some drivers were working but some didn’t. The striking ones stopped those working ones in the street and broke their lamps. Police were even called to the scene [laughter].

Han:
Have any drivers been detained?

Striker:
Eight people were detained yesterday.

Han:
Have they been released?

Striker:
Yes, released.

Hearing the City Traffic Control Bureau said that their transaction of taxi was illegal, this driver revealed that in the past the government had never told them about the illegitimacy of their transactions. In fact, drivers could go to government department to have their transaction registered. It was until last year the government stopped recognizing those transactions.

Striker:
We work in two models. Some drivers work for the taxi company while some have their own taxis. A taxi is sold at 270,000 Yuan or 280,000 Yuan or some at 250,000 Yuan. Those individual drivers are mostly affected. For example, I bought my taxi five years ago at 180,000 Yuan, around that price. Some people get the taxis for a couple of years and resell them. Some are sold at the price of 270,000 Yuan or even 290,000 Yuan. Just think about it, if you buy a two-year-old taxi for 290,000 Yuan and after another six years, the government takes it back, how much does the taxi cost you per year? You can’t even gain back the money you have invested. I have been driving for long and I can tell you that earning 50,000 Yuan per year is already quite good. But before you earn your capital back, your taxi will be taken away.

Han:
I talked to the staff from the Traffic Control Bureau and she said the kind of transaction you mentioned has been prohibited.

Striker:
It has only been prohibited for one year. Before then, it was open and registered.

He believes the government’s action is a trick to squeeze more money from the drivers.

Striker:
Wasn’t it a regulation saying that taxis, after eight years’ operation, should be deposed? After then, we bought our own taxis to run them for another eight years. Now the government realized that if it takes away our operation licenses, it could make a great deal of money by auctioning them.

Han:
You mean the government takes back the licenses every eight years to resell them.

Striker:
By reselling them, they can charge us one more time. You know they just try to get money from the people.

A staff from the city’s general trade union said drivers would not strike if they could have their union to fight for their rights.

City’s General Trade Union:
We don’t have one [Taxi-drivers’ trade union].

Han:
Why not?

City’s General Trade Union:
Why not? How to explain? Trade unions used to be formed by a group of people but now, the drivers haven’t set up theirs.

Han:
Then how to safeguard the drivers’ rights?

City’s General Trade Union:
How to safeguard their rights? There are government departments which deal with this industry. The government would do it.

Han:
Yet, if the interests of the drivers and that of the government are not matched while the workers don’t have a union to represent them, do you think drivers have any alternative means to protect themselves other than staging strikes?

City’s General Trade Union:
They could apply for Labour Arbitration if they don’t have a union. We do plan to build them a union as soon as possible. If they would have their own union, I believe they wouldn’t use strike to fight for their rights.

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