“STM Maintenance Union Raises Concerns Over Increasing Subcontracting Costs”

2023-05-03 05:33:16

Maintenance employees of the Société de transport de Montréal (STM) have been concerned regarding a “heavy trend” towards subcontracting for the past few months. Their union denounces a sharp increase in costs associated with it.




“There have always been small privatization issues, but here, we are giving out work at double or triple the price for no reason. The bus fleet is however in a good position. We find it absurd, ”explains a spokesperson for the Syndicat du transport de Montréal (CSN), Simon-Pierre Robillard.

His group has seen a gradual increase in outsourcing in recent months. “It started with service vehicles. We saw contracts for inspection and repair that totaled $700,000 and $500,000,” laments Mr. Robillard. Today, regarding 25% of inspections are done externally, he says, namely regarding sixty out of more than 215 annually.

Since the abandonment of the production and reconditioning of bus brake calipers in-house two years ago, the union estimates that the losses are also considerable.

“In 2022 alone, we purchased 945 new front calipers, which cost $700 each, and 1,400 new rear calipers, which cost $800 each. If they had been refurbished, the cost would instead be $480 and $495. In other words, we would have saved more than $600,000. And that’s just for a year, ”slips the union agent, who regrets that most of the other transport companies continue to do their stirrups.

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The principle is the same for transmissions, which are “often” restored externally for a few months, according to the union. “Replacing a model 1400 type transmission, used on most STM vehicles, costs internally approximately $8,036 including parts and labour. There, they have just given a contract of more than $25,000 to a company”, illustrates Mr. Robillard.

Within two months, the union estimates the excess cost of replacing the transmissions at nearly $80,000. Mr. Robillard claims to have questioned the STM board of directors on several occasions.

At the STM, we say we are “aware of the union’s demands”. “Steps are underway on the ground. We are open to continuing the discussions to work on finding beneficial solutions, ”says its spokesperson, Philippe Déry.

He points out that “the majority of mechanical maintenance work is still done” internally, but that “we must carry out our activities at a fair cost and ensure that we deliver a reliable public transit service”. Certain “specific mechanical maintenance mandates” are therefore “delegated to specialized suppliers taking into account the capacity of our teams”, insists Mr. Déry.

In the case of the reworking of certain parts, “it is normal that this operation has limits; an element as critical as a brake caliper, for example, cannot be continuously reconditioned”, affirms the spokesperson. “For reasons of safety and reliability of the service, it becomes necessary to proceed with the replacement with new”, he continues. “It is necessary to take into consideration all the costs related to these measures, including the cost of internal human resources,” concludes Mr. Déry.

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