Taxi Fare Increase Inevitable in Seoul

Seoul's first taxi fare increase in five years looks inevitable, with the city unions agreeing to an increase within this year. It remains to be seen how much the increase will be and when exactly it will begin.

The Korean Taxi Workers' Union and the Seoul Private Taxi Association say the rise in the starting fare should be no more than 1,000 won ($0.94). They are worried that increasing the fare too much will cause the industry to lose passengers.

"In October 2013, when the starting fare increased by rather an affordable amount from 2,400 to 3,000 won, the outcome caused only a brief public outcry, which soon dissipated," says the Korean Taxi Workers' Union Seoul Office.

If the increase gets out of proportion this time, the repercussions could be serious. It will be worse than not having initiated the measure at the first place.

While those asking for the fare increase to be kept small are concerned about passengers, the opposing group is tilted toward improving drivers' working conditions.

Korea Taxi Union wants the starting fare to increase by at least 1,500 won, saying any rise of 20 percent or less will not be enough.

"Taxi drivers who work for companies return part of their earnings to their operators at the end of every shift," the union says. "The amounts returned to companies go up when there is a rate increase. If the fare increased is not enough, the drivers will return the increased proportion to the...