NYC Cabbies to Strike Over Credit Card Payments

Cab drivers in New York City are planning a second strike in less than two months amid an effort by the city to install credit card machines and GPS systems in more than 13,000 medallion taxicabs.

As credit cards continue to become the payment of choice, city regulators have decided that it should be a necessity for passengers to have the option if they choose not to carry cash.

But cab drivers have objected to the new devices, noting that in the event that the machine malfunctions, passengers may be entitled to a free ride.

And the cabbies have a valid point, as past studies have found that a reasonable amount of credit card transactions failed to go through thanks to NYC’s spotty wireless service.

A proposed solution is to allow credit cards to be authorized, but not charged at the beginning of the trip, an idea that will likely steer less trusting passengers towards cash.

The city has run their own tests, and believe the credit card machines work just fine, and mayor Bloomberg said the plan will go on, strike or no strike.

New York Taxi Workers Alliance held a two-day work stoppage last month, but expect a larger protest when they begin a 24-hour strike beginning at 5 am Monday morning.

Who knew credit cards could cause so much hubbub?

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