Prudent for Govt to nurture private bus companies

ABOUT 80,000 bus drivers in South Korea went on a nationwide strike on Nov 22 affecting 15 million commuters.

On June 20, 300,000 South Korean cabbies staged a nationwide strike demanding higher fares and cheaper fuel.

The bus union is opposing a proposed Bill that will give cabbies new tax benefits and allow them to drive in bus-only lanes.

Interestingly, the bus union argued that the proposed measure was aimed at winning the votes of the cabbies ahead of the December presidential election.

Back home in Malaysia, the impending general election has spurred leaders from both sides of the political divide to make promises to woo the cabbies.

Many private bus companies have collapsed in recent years due to a variety of reasons such as low fares, inefficient operations, exodus of foreign workers, Government’s promotion of affordable national cars and competition from government-linked bus companies.

RapidKL has a stranglehold in the Greater Kuala Lumpur area and its expansion into Penang has knocked off traditional bus operators.

It is now moving into Kuantan and bus companies there will suffer the same fate.

It would be more prudent for the Government to nurture private bus companies as it would cost much less than to run bus operations.

RapidKL was reported to have lost RM293mil in 2010.

It would not be at the strategic interest of our country should drivers of an overly large bus company, with tentacles across the nation, go on strike.

Several months ago, bus drivers in Malacca went on strike after the state government, which had to take over bus operations in the state, clamped down on pilferage.

Earlier, I had forewarned about “old wine in a new bottle” if there is no change of work culture and ethics in taking over 10 ailing bus companies and staff by the state government.

Although strikes are rare locally, wildcat work stoppage can easily be triggered when emotions run high.