Japan Official Opposes Plan to Allow Ridesharing Despite Driver Shortage
(Bloomberg) -- Ridesharing as practiced in the US should not be allowed in Japan because of health and safety concerns, a senior official in the ruling coalition Komeito party said, even as the aging country faces a worsening shortage of drivers.
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Yosuke Takagi, the party’s policy chief, told Bloomberg in an interview this week that the lack of employment contracts for rideshare drivers would also mean minimum wage requirements might not be met.
His comments come as a cross-party group of lawmakers including former Environment Minister Shinjiro Koizumi presses to allow ride sharing. Proponents have called for legislation to allow the change by the end of the year, while the government has said it will discuss the issue.
Read: Driver Shortage Sends Japan Taxi Firms to Recruit New Graduates
Japan introduced a limited “rideshare” system this month. It allows people to use their own cars to transport paying passengers, but is carried out under the supervision of taxi companies and limited to certain areas and times of day.
Barriers to entering Japan’s taxi industry are high, with drivers required to obtain a specialized license and conform to regulations on setting fares. Uber Technologies Inc is best known in Japan for its food delivery service.
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