Seán Kenny (Dublin North East, Labour) | Oireachtas source

I welcome Mr. Murphy to the committee. As a Dublin Deputy, I am concerned with the Dublin Bus services and the impact any changes will have on the service in light of SIPTU and the NBRU raising their concerns last week.

In 2009, Deloitte carried out a study of Dublin Bus and Bus Éireann services and came to the conclusion that they offered value for money. The point was also made that the subvention that both received that year was way below that paid in comparable countries. Since then, the subvention has been lowered again and again. Performance targets set for both companies have been met and, in some cases, exceeded. That raises a question about the rationale for putting 10% of their services out to tender through open competition and why the figure of 10% was selected. Why was it not 5% or 15%? On what basis was that decision arrived at?

Reference was made to the transfer of undertakings legislation and it was pointed out to the committee last week that there is grave concern that pension rights are excluded under the legislation. That factor weighs heavily on existing employees and it could be a reason for them not wishing to transfer if the services they work on are handed over. This is an important consideration for all workers and, in particular, older workers.

Senator Mooney referred to the experience in the UK. That must be borne in mind because bus service deregulation did not work out there. Fewer people used buses following deregulation.

There is also the question of the subvention. I assume the new operators will continue to receive a subvention. What gain will there be if the State is just subsidising another operator to provide the same service?

Mr. Murphy clearly stated there should be no discernible effect if the operator of the services was to change and this should happen seamlessly. I refer to the example of Aircoach, which provides a service from the airport to various parts of Dublin city. The company has been taken over by FirstGroup, which is one of the largest bus operators in the UK. However, Aircoach does not provide wheelchair accessible facilities in its fleet, despite the fact that it has been raised with its representatives. If a customer in a wheelchair approaches an Aircoach staff member in Dublin Airport, he or she is told to use Dublin Bus services, as the company will not carry him or her. That is not a level playing field. It has also been pointed out that the space provided on a bus for wheelchair passengers is three times that provided for able bodied passenger and the operator that provides such a service must carry a loss. The fact that Aircoach will not transport wheelchair bound passengers is a matter of concern because other operators could point to the company and say that because it is not doing so, they should not either.

I do not represent Waterford city but the committee was informed last week that all the Bus Éireann services out of the city will be put out to tender. Mr. Murphy referred to the school bus and other services and that is a concern as well because of the impact that might have on those who provide the service currently.