This archive report was first published on 8 September 2019.
Published on September 8, 2019, a study by Viffa Consult has shed light on the financial struggles faced by Kenya's taxi-hailing drivers.
According to the research, 66% of drivers gross over Sh20,000 per week, but their net income is significantly lower, with 52% netting less than 30% of their turnover.
‘Despite 66% of drivers grossing over Sh20,000 a week, 52% netted less than 30% of the turnover not considering fuel, car washing, and other incidental costs that are borne by the driver, which further reduces their net pay,’ the study found.
When taxation and other statutory obligations are factored in, these drivers would likely earn below the minimum wage of Sh13,572 per month.
The study also revealed that most taxi drivers enter the business to earn additional income or due to inability to secure formal employment, with flexibility in working hours and better-paying jobs being other reasons.
