Officers are hoping to reposition it on Greaves Street instead, running alongside the Old Town Hall.
It would mean there's more space for pedestrians and people visiting the nearby businesses while improving disabled access to vehicles.
The work is part of wider plans to ensure Oldham town centre, district centres and public spaces are safe and welcoming as lockdown continues to ease.
It also ties in with the Greater Manchester wide #SafeStreetsSaveLives campaign.
Councillor Barbara Brownridge, Cabinet Member for Neighbourhoods and Culture, said: “We want people to come into Oldham town centre so they can support local businesses and the economy.
“So people can do this we are trying to make it as easy as possible to get about while social distancing.
“Small changes, like moving the taxi rank, can make a big difference as it offers extra space.”
For more information, details of the support available in Oldham and updates visit: www.oldham.gov.uk/safecentres
