The Department of Labour will increase the minimum wages for taxi drivers by 6.2% from 01 August 2016.
Drivers in the industry will earn just over R3 000 rand per month.
However, the National Taxi Alliance (NTA) says that most drivers already earn more than this proposed amount.
We basically have been paying more than that to be honest. [Most taxi drivers] earn more than that.— Theo Malele - Spokesperson for the National Taxi Alliance
NTA spokesperson Theo Malele says taxi drivers control 40% of the income that operators collect, due to poor financial management within the industry.
According to Malele, taxi owners are also burdened by bank repayments, vehicle service and maintenance, as well as paying of drivers.
He explains that it is unacceptable that the taxi industry remains unsubsidised, and continues to be treated as the "stepchild of the public transport sector."
Listen to the full conversation from The Midday Report with Stephen Grootes: