More union trouble - this time it's Connex

[the age 07.02.2002]

For those unfamiliar with the management structure of Melbourne's "public" transport system, Connex is a French-owned company that runs a fair proportion of the public train infrastructure within the city. Melbourne has a common ticketing system (OneLink) across all public transport, for which the revenues are subsequently split across the various privatised operators for the train, tram, and bus services, based on a fairly compex formula involving where the ticket was bought, where it was used, and how many times it was used. According to Connex, this revenue distribution system works against their favour, and as a result they are now in a position where they need to cut costs up to the equivalent of 70 staff.

Negotitations with the Union involved have so far been unsuccessful, and a round of work stoppages will begin effective today bringing train services to a halt during off-peak periods. Various cost-saving alternatives have been discussed including deferring wage increases, reducing wages, and downgrading positions, all without success. So now it's time to cut down on customer service, reduce revenues, and generate a bad image for the company - yes folks - it's strike time!