Mr. Aidan Murphy:

We make an application and discuss it with the NTA but we are bound by the NTA, which is the final arbiter of the fare process.

As a matter of course, Bus Éireann does not wish to increase fares but at the same time if subventions are being decreased but the levels of service that consumers are demanding are increasing, clearly there must be a place in the middle to take account of it. We will have the discussions with the NTA on how the PSO services develop. There is an element that if one can manage the fares process correctly, one might be able to gain further passengers on buses, which would reduce the cost.

As I said earlier in response to another question, the spread of the population does not always give Bus Éireann the opportunity to be able to run certain routes on an efficient basis. If one wants to run routes to fill a social dimension, there is a cost element to that. The cost element will either be in individual fares paid by the consumer on the day or by increased subvention which is paid through taxes. There is a balance and that is something for Government to discuss and on which to make decisions. We will obviously have an input into the NTA and develop as best we can the most competitive model. If we are as competitive as possible then that should start to reduce the need for fare increases.

I am very clear on industrial relations. As far as I am concerned if one has a fully engaged and committed workforce, industrial relations issues can always be dealt with. That is not to say there are no challenges for the company ahead. We have had a great many discussions with our employees in the past period of time and we recognise and understand they have taken some pain in their wage levels and so on. That is necessary if the company is to survive going into the future. The most important point is that employees understand the strategy, and the reason for it in a very transparent way and what I have found from my experience is that employees will actual move with the company in that regard. One is better to do that, talk up-front, be honest and clear with employees, they will come in the main with the company. We have been rolling out our strategic plan and doing employee engagement surveys to gauge how our employees feel, whether they feel engaged by the company. We have more than 2,500 employees spread across the country and communications can be an issue because of the spread of the employee base. I believe from my experience that this is the best way of developing a strong ethos within employees to bring the company forward.