STM Announces Elimination of 300 Jobs Amid Two Declared Strikes

Bassyonni

ago 4 hours

STM Announces Elimination of 300 Jobs Amid Two Declared Strikes

The Société de transport de Montréal (STM) has announced plans to eliminate 300 jobs amidst ongoing negotiations with its unions. This decision is part of a broader strategy aimed at reducing expenses by $56.5 million to achieve a balanced budget by 2026.

Details of Job Reductions

STM’s general director, Marie-Claude Léonard, emphasized the urgency of managing public funds effectively during a press conference. While the company is cutting 300 positions, this does not necessarily imply job losses for 300 individuals. Many roles may be filled through internal relocations, such as transferring drivers to different transport centers. Furthermore, several of the affected positions are already vacant.

Financial Context

STM aims to save millions through these cuts.
Immediate expense reductions of $56.5 million are necessary for next year’s balanced budget.
Over the next three years, STM plans to cut an additional $100 million.

Léonard indicated that financial adjustments are critical, with $40 million needing to be saved by 2028. Discussions around various strategies for cost reduction are ongoing, with a focus on maintaining user safety. Notably, salaries account for 70% of STM’s expenses, leading to potential adjustments in service frequency.

Union Reactions

The announcement has sparked immediate backlash from union leaders. Bruno Jeannotte, president of the maintenance workers’ union, criticized the STM’s approach, stating that budget cuts disproportionately affect workers. He remarked on the difficulties posed by government underfunding but also highlighted the necessity of collaboration during negotiations.

Frédéric Therrien, president of the drivers’ union, echoed these sentiments. He noted that the STM has repeatedly utilized similar tactics during bargaining. Both unions are currently threatening strikes due to unresolved issues surrounding salaries, subcontracting, working conditions, and job security.

Strike Plans

Maintenance staff plan disruptions throughout November, with specific dates not yet determined.
Drivers intend to strike on November 1, 15, and 16, marking the first such action since 1987.

The Administrative Labor Tribunal (TAT) is set to decide on essential services to maintain during these strike actions. Moreover, the STM has petitioned for a mediator to assist in resolving conflicts with drivers.

Government Mediation Efforts

On October 7, Quebec’s Labor Minister, Jean Boulet, initiated a team of four mediators to facilitate negotiations between STM and maintenance workers. The dysfunction in discussions has underscored the need for effective resolution strategies, particularly as both unions seek a fair settlement.