Exodus of Private-Hire Drivers expected in the coming month

Time is up for many private-hire drivers in Singapore.

Come 1 July 2018, private-hire drivers who hold the temporary Approval-to-Drive from LTA will not be allowed to provide private-hire service anymore unless they have completed and passed their Private Hire Car Driver Vocational Licence (PDVL) tests.

Drivers who applied for the PDVL courses before 1 July 2017 were allowed to continue to provide private-hire service as they were given a grace period of 1 year to complete the background checks by LTA and pass the PDVL test. Drivers who submitted after 1 July 2017 had to pass the tests before they were allowed to start providing private-hire services.

Private-Hire Car Industry Statistics

Private-hire Singapore statistics
source – LTA Singapore

In the recently released statistics from Land Transport Authority of Singapore (LTA), there were some alarming statistics.

  • There was an overwhelming number of sign-ups at 75,600.
  • Drivers who were on the 1-year grace period but have yet not passed the tests stands at 23,900. These are the drivers who are allowed to provide private-hire service at this moment but will have to stop on 1 July 2018.
  • LTA states that around 70% of trained PDVL applicants have passed the test since the implementation of the PDVL. If you have passed you might want to find out more on Commercial car insurance

Car insurance

It is unclear how many of this group of 23,900 drivers will want to continue as a private-hire driver.

Why so many people throw keys

The merger of Uber and Grab caused many ripple effects in the industry.

Many Uber-loyalist chose to leave the industry for good. Some drivers were banned by Grab previously and they had no other alternatives than to leave the industry despite the entrance of new players such as Ryde, Jugnoo and many more.

Drivers also complained of a reduced number of jobs, fare amount and incentives as a huge influx of Uber private-hire drivers all came onboard to Grab to share a piece of the pie. Grab also reduced the amount of promo code offered to riders which many believed translate to lesser demand.

Stop Waiting and Just Do It

The clock is ticking. For those who still want to be a private-hire driver on 1 July 2018, sign-up early and give yourself more chances to attempt the tests. It is not easy but it can be done. Just ask the 32,400 people who have done it over the past year.