MEMO / NOTE DE SERVICE

To / Destinataire Mayor and Members of Council File/N° de fichier:

Chair and Members of the Transit Commission 05-2024

From / General Manager

Expéditeur Transit Services Department

Subject / Objet OC Transpo management and administrative Date: February 6, 2024

workforce adjustment

The purpose of this memo is to inform the Mayor and members of Council about
adjustments to OC Transpo’s management and administrative workforce that took effect
today.

OC Transpo is continually evaluating its business needs based on current ridership

levels. Based on our current projections, transit ridership is not expected to recover
further than 75 per cent of pre-pandemic levels in the immediate future. The most recent
update to the Transit Long Range Financial Plan estimates it may take up to 10 years
before ridership fully recovers, closing the revenue gap. This loss of ridership has
created a permanent gap in OC Transpo’s annual funding at the same time as
operational costs are increasing.

As outlined in the 2024 Budget, OC Transpo has taken a number of actions to reduce
costs and find efficiencies, for example, by retiring older buses, freezing discretionary
spending and deferring capital costs. These measures are not sufficient by themselves
to address the current budget realities.

Our operations and structure must adjust as we continue to identify ways of reducing
costs. As a result, we have made the difficult decision to reduce our management and
administrative workforce today. In total, 25 unionized employees and 10 management
and professional employees have been impacted. All directly affected individuals were
informed today.

Today’s changes ensure that management and administrative support levels are
aligned with our department’s business needs and consistent with supervisory levels
across the corporation. This adjustment does not affect our frontline employees, namely
bus and rail operators, as well as mechanics and apprentices. We continue to have a
need for new operators, mechanics and apprentices in 2024 and are maintaining our
efforts to fill these positions. These new recruits will replace current frontline employees

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as they move to other positions, retire, or leave the organization, ensuring we can
continue to deliver reliable service.

We understand the profound impact that workforce adjustments have on the affected
employees and their families, as well as our entire department. We are working closely
with Labour Relations and Human Resources to ensure that we are respecting the
rights and options in the relevant Collective Agreements. Affected individuals are being
offered support and options to find alternate placement through their collective
agreement provisions or employment terms and conditions as applicable. The OC
Transpo team is offering support to all our staff through our Peer Support Network and
the Employee Assistance Program.

Should you have any questions, please contact me via email or at ext. 52111.

Original signed by
Renée Amilcar

cc: Senior Leadership Team

Transit Services Departmental Leadership Team
Director, Public Information and Media Relations