City councillor says cab companies likely wouldn't be compensated post-Uber

A Saskatoon city councillor doubts cab companies would be compensated if rideshare company Uber sets up in the city.

Yesterday, cab owners and drivers voiced their concerns at the city's Standing Policy Commission on Transportation. They argued that a flood of unregulated cabs into the market would ruin the industry.

Right now, permanent taxi licenses sell for tens of thousands of dollars on the open market. Factor in the cost of cars, maintenance and dispatching, and it adds up to a significant investment.

While councillor Darren Hill said cabbies raised valid questions at the meeting, he doesn't think cab owners would be compensated in a post-Uber world.

"That's an investment and a part of a business gamble on behalf of people, so I don't see where there would be any level of compensation required," he said.

City council is asking the provincial government to get involved in regulating Uber across Saskatchewan. Hill said the idea already has precedent.

"Currently the provincial government does regulate some transportation service providers. For example, the 'black cars' that service Saskatoon are regulated by the provincial government, not by us."

What impact Uber might have on the number of taxi cabs being sent to the airport remains unclear. The Saskatoon Airport Authority is private property and has an exclusive deal with United Cabs/BlueLine Taxi, separate from the city's control.

However, in a post-Uber world, Hill wonders if that might change.

"I am completely confident that if Uber comes into the market, you're going to see service increase at the airport," he said.