Tommy Broughan (Dublin North East, Labour)
Link to this: Individually | In context

I was delighted to learn earlier this afternoon that discussions between the NBRU, SIPTU and Dublin Bus at the Labour Relations Commission, LRC, have resulted in the strike action at Dublin Bus that was set to begin on Saturday next being averted. Commuters and businesses, as well as rugby fans, in the greater Dublin area will breathe a sigh of relief that the planned massive disruptions to services have been avoided.

A major interruption of bus services is the last thing the Irish economy needs or can afford at present. An all-out bus strike is an appalling prospect for many workers who rely completely on public transport services. It would also place huge added pressure on businesses that are already under massive strain due to the horrendous economic conditions which currently obtain. However, workers at Dublin Bus and Bus Éireann felt they had no option but to withdraw their labour in light of the proposed sacking of approximately 600 of their number. Plans to cut up to 600 jobs and perhaps as many as 300 buses at Dublin Bus and Bus Éireann is an unprecedented and appalling attack on bus services, particularly in light of the collusion of the Green Party in this despicable act. Commuters have been stunned and devastated to learn that their local bus services — which are already under severe pressure due to the Government's neglect of them during the past 12 years — will now be reduced or cancelled completely.

I have been inundated with e-mails from young bus drivers and their families who have been devastated to learn that they are to be made redundant. Many of these young drivers left permanent and pensionable jobs in other sectors in the past 12 months in order to join our public bus companies because they believed they had a future with these companies. In the context of the current disastrous economic situation, losing their jobs is a devastating body blow. Each job lost costs the State an additional €20,000 per annum. This means that the State would lose a further €12 million each year as a result of what is proposed at Dublin Bus and Bus Éireann. We should not be obliged to cope with such a loss at present.

Is the Minister of State in a position to provide any hope tonight to all or some of the young drivers — and their families — who face the possible termination of their contracts in the next week or two? Will he indicate whether there have been any moves to consider a full or partly voluntary redundancy scheme at both bus companies? Will he also comment on the natural wastage that occurs in a large workforce and indicate how this will impact on the proposal?

The Minister for Transport, Deputy Dempsey, has direct responsibility for the funding and operation of our national public transport system. However, when a crisis of this magnitude occurs within the bus sector, he runs for cover or tries to use the Green party or the recently published Deloitte & Touche report on Dublin Bus and Bus Éireann as a mudguard. A constituent pointed out to me last week that the Minister and his Government colleagues have approved or sanctioned Dublin Bus and Bus Éireann business plans in recent years which included fleet expansion plans and the associated recruitment of new drivers. How is it possible that the Minister approved these plans and is now abdicating all responsibility when hundreds of young bus workers are being summarily dismissed?

Both bus companies will clearly be obliged to deal with exceptionally difficult financial circumstances this year. However, the Government has done little to strengthen and support them. Late last year, the Minister abolished the public transport fuel rebate, which CIE warned would add millions to operating costs this year. The funding Bus Éireann and Dublin Bus receive under the public service obligation is among the lowest in the European Union. I understand that Dublin Bus receives 29% of its revenue support in this way, while Bus Éireann receives only 12%. The recent Deloitte & Touche report, which the House will discuss tomorrow, indicates that they occupy positions at the bottom of the table in the context of public support for bus companies.

Even though an all-out bus strike next week has been avoided, it is clear that deep problems remain and that what has occurred may just be a deferral of strike action. One of the appalling features of the current industrial relations crises at both companies has been the complete absence of any political leadership from the Minister for Transport. On numerous occasions in recent weeks and months I asked the Minister, both in this Chamber and at meetings of the Joint Committee on Transport, to adopt a hands-on approach and to do everything possible to avoid an all-out bus strike in light of the profound consequences this would have for workers and businesses throughout the country. It is disappointing that the Minister has continually shirked his responsibility and that matters are as they now stand.

John Moloney (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

I apologise for the fact that the Minister for Transport cannot be present to take this matter.

As the House will be aware, the resolution of industrial relations matters in the CIE companies and elsewhere is a matter for those companies to deal with in conjunction with their unions and, if necessary, by means of the industrial relations machinery of the State. The background to the current dispute is that CIE is projecting an operating deficit of up to €100 million for 2009. This is despite an increased subvention of €313 million and 10% fares increase. With falling revenue and passengers numbers and a worsening financial position, measures need to be taken immediately in order to secure the future viability of the companies. Dublin Bus and Bus Éireann have prepared cost recovery plans to achieve this and their representatives have made themselves fully available for engagement with the unions in respect of these plans.

As the House will also be aware, the LRC intervened in the matter and invited the unions and Dublin Bus representatives to attend discussions earlier today in an effort to avert strike action. The outcome of this initiative has resulted in all proposed strike actions being postponed for one week to allow intensive negotiations on cost reduction measures to get under way from Monday next under the auspices of the LRC. The intervention of the LRC is welcome and the Minister for Transport encourages all involved to work constructively to avoid strike action. Such action will not serve the interests of the workers, the public or the companies and nor will it support public transport as an alternative to the use of private cars.