2006-06-09

Mismanagement at the TTC

In the wake of the media preoccupation with the arrest of 17 suspected terrorists in the GTA last week, comes a new chapter in the ongoing tale of mismanagement at the Toronto Transit Commission. The damage that is being done to public transit in Toronto, and consequently the urban environment will potentially affect far more citizens than the terrorists ever could hope to impact.Two weeks ago, Toronto experienced a wildcat transit strike.

By all appearances it was counseled by the transit union president and it was widely condemned by the mayor, transit commissioners, city councilors , the media and the general public. It was illegal, everyone, except the union bosses, agreed. Even the mayor and TTC chairman Howard Moscoe agreed it was illegal and that the union should have to pay (for) the consequences: fine, damages, etc.

Now the TTC general manager has resigned blaming political interference. It seems the chairman and vice-chairman have been negotiating with the union, behind managements' backs, to pacify the union on the very issues which led to the illegal work stoppage (basically it is a dispute over shift assignments for subway station cleaners; the cleaners prefer working days and management wants to switch them to nights when they can work more efficiently in stations that re not crowded with riders. It's an issue that affects a tiny proportion of TTC union members, but taking a hard-line makes the union president look strong in an election year.

In the past few years, three TTC general managers have resigned - all because of interference from TTC chairman Howard Moscoe. While some city councilors are ready to bump him from office, Mayor David Miller is on record as saying the politicians have a right and responsibility to be involved in negotiations with the union. His words clearly demonstrate his ignorance of the most basic principals of management. No management team can be effective if the board of directors is undermining it. No self-respecting CEO would retain the post if the chairman of the board was working behind his back to subvert his management plan.

It's election year for the union president, who has won an enormous victory with the resignation of the general manager. More significantly it's election year for the mayor and city councilors . Mayor Miller, TTC Chairman Moscoe and Vice-Chair Giambrone are all dependent upon union support (endorsements, volunteers, cash) for their re-election. The mayor never met a union official he didn't want to metaphorically fellate is ready to cave whenever he faces union opposition to reforming the city's notoriously work-force.

The general manager has also raised concerns about Moscoe’s influence in awarding an untendered contract for the purchase of new subway cars that is costing the city, province and Canada $100 million more than a competing manufacturer’s offer. Moscoe claims justification for circumventing normal purchasing practice with the argument that it will save (union) jobs at a plant in Thunder Bay, but it is not the city’s or TTC’s role to fund job creation/preservation. Nor does this action look good when the city and TTC go to other levels of government for additional funding. If the city and TTC will abuse taxpayers for $100 million, where else are they wasting money?

It’s been a sad week for the city; not just because of the revelation of the alleged terrorist plot. Indeed the city has suffered more self-inflicted damage from its own administration.