Transport authorities in Western Australia have launched targeted covert operations against predatory taxi operators following allegations of aggressive passenger exploitation and rampant wage theft at Perth Airport and Crown Perth casino.

The ramped-up compliance campaign follows growing frustration within the commercial passenger vehicle sector, where accredited operators report an influx of unauthorised drivers aggressively touting for business, ABC News Business reported. Regulators are now deploying plainclothes compliance officers to key tourist arrival points and entertainment venues to intercept drivers operating outside the state's licensing and safety frameworks.

Covert operations target high-traffic transit hubs

The enforcement blitz is primarily focused on Perth Airport's terminals and the Crown Perth precinct in Burswood, two of the metropolitan area's most lucrative corridors for commercial passenger transport.

Undercover officers from the Department of Transport are monitoring rank areas and passenger pick-up zones, targeting individuals who approach travellers directly rather than accepting bookings through legitimate dispatch services or waiting in designated taxi queues.

Industry figures allege that rogue operators have become increasingly brazen, intercepting arriving domestic and international passengers before they reach regulated transport ranks. By bypassing strict queuing protocols, these operators deny fares to accredited drivers who often wait hours in holding bays for legitimate jobs.

Drivers squeezed by unlicensed touts

For accredited taxi operators already grappling with soaring fuel costs and competition from rideshare networks, the surge in illegal touting represents a direct threat to their livelihoods. Legitimate drivers argue that the practice amounts to systemic wage theft, draining revenue from an industry bound by strict vehicle compliance costs, insurance premiums, and licensing fees.

Industry representatives told ABC News Business that compliant operators are routinely undercut by rogue drivers negotiating inflated off-meter cash transactions. In many instances, unsuspecting passengers—particularly overseas visitors and late-night casino patrons—are subjected to exorbitant flat fees that vastly exceed metered rates or standard rideshare fares.

The commercial passenger vehicle sector has warned that without persistent and visible enforcement, rank integrity will deteriorate further, compounding financial distress for law-abiding drivers who adhere to state tariff regulations.

Safety concerns and passenger price gouging

Beyond the economic damage inflicted on drivers, transport officials have highlighted substantial consumer safety risks associated with unlicensed transport providers.

Authorised taxis and charter vehicles are subject to stringent regulatory oversight, including mandatory driver background checks, vehicle roadworthiness inspections, and commercial passenger vehicle insurance. In contrast, unvetted operators who solicit fares directly often lack appropriate commercial passenger liability cover, potentially leaving commuters unprotected in the event of an accident.

Regulators have also received complaints regarding aggressive behaviour from touts who refuse to use meters and demand cash upfront. Consumer advocates caution that vulnerable travellers arriving late at night are particularly susceptible to price gouging when mainstream transport options face peak-hour queues.

Calls for tighter enforcement and heavier penalties

While authorities have intensified spot checks and undercover audits, sector stakeholders maintain that current deterrence measures remain insufficient to curb the lucrative illicit market. Under current Western Australian transport legislation, operators caught offering unauthorised passenger transport or touting face significant monetary penalties, but industry participants are calling for vehicle impoundment powers to permanently sideline repeat offenders.

The state government has urged the travelling public to refuse unsolicited offers of transport and report illegal activity, advising commuters to rely solely on regulated taxi ranks, authorised booking apps, or staffed airport transfer services.