South Africa could face another major disruption next week after the Gauteng taxi industry warned that it may launch a province-wide strike over ongoing disputes surrounding operating licence renewals.
The National Taxi Alliance (NTA) says the planned strike is scheduled for Tuesday, 28 July, unless government addresses long-standing concerns over delays in issuing and renewing operating licences for taxi operators.
The dispute centres on claims that many drivers have been unable to renew existing permits or obtain new licences through Gauteng’s Department of Roads and Transport. Without valid operating licences, taxi operators risk substantial fines, vehicle impoundments and interruptions to their businesses.
Industry and Government Remain at Odds
The NTA argues that administrative backlogs have left thousands of operators unable to comply with licensing requirements despite repeated attempts to resolve the matter.
However, Gauteng MEC for Roads and Transport Kedibone Diale-Tlabela has rejected those claims, saying the licensing system is functioning as intended and is designed to remove illegal operators and so-called “ghost members” from the industry.
She said discrepancies exist between membership figures submitted by some taxi associations and records held by the department. In one example, an association reportedly claimed to have 542 members while departmental records reflected nearly 4,800 affiliated individuals.
Gauteng NTA chairperson Mpho Motsepe has called for urgent talks with the MEC, saying the industry expects its concerns to be addressed within seven days. If no agreement is reached, the planned strike will proceed.
Motsepe also accused provincial transport authorities of engaging directly with individual taxi groups without consulting the National Taxi Alliance, claiming the breakdown in established communication channels could heighten tensions within the industry.
Potential Economic Impact
The strike threat comes less than a month after anti-illegal immigration protests on 30 June disrupted transport, business activity and daily life in several parts of South Africa.
Analysts warn that a province-wide taxi shutdown in Gauteng could have even broader economic consequences. The province is South Africa’s economic hub, and millions of commuters depend on minibus taxis to travel between their homes and workplaces each day.
If public transport services are significantly reduced, businesses may struggle to maintain normal operations as employees face difficulties reaching work. Small businesses are expected to be among the hardest hit because they are generally less able to absorb even short periods of reduced trading.
The concerns are reinforced by the economic impact of the 2023 Cape Town taxi strike, which followed widespread vehicle impoundments linked to operating licence violations and traffic offences. According to the Cape Chamber of Commerce, three-quarters of surveyed businesses reported that more than half of their employees were affected, while 69% experienced direct financial losses. Nearly one-third said their daily revenue fell by more than 50%.
With negotiations expected over the coming days, businesses and commuters across Gauteng will be closely watching whether government and taxi industry leaders can reach an agreement before the planned strike date.
Source: Adapted from reports by BusinessTech.