Franchise feud brews
THE proposed decision by the Jamaica Urban Transit Company (JUTC) to reduce sub-franchised routes across the Corporate Area is facing strong opposition from some sub-franchise holders.
Colin Campbell, JUTC managing director, said come April the state-run entity would be taking back several routes which would translate to increased revenues for the cash-strapped entity. Campbell was addressing the weekly meeting of the Rotary Club of St Andrew North, at the Institute of Chartered Accountants of Jamaica, Ruthven Road, Kingston on Monday.
“Currently, there are 394 sub-franchise holders. I don’t think we need so many. In fact, the number of sub-franchise holders is fast heading back to when we had the one man, one bus system,” he said.
The managing director said 37 of the 109 routes in the Kingston Metropolitan Transport Region (KMTR) were sub-franchised. The KMTR covers Kingston, Spanish Town, Portmore and parts of St Thomas.
He told Rotarians that the JUTC’s financial viability had to be taken seriously.
“It is absolutely not sustainable at this rate,” he said.
Louis Barton, president of the Jamaica Association of Transport Owners of and Operators (JATOO), said the revamping of the routes would destroy private operators who have invested millions of dollars in the public transportation system.
“It is unfair to give people who have invested so much in the sector, four months’ notice to withdraw a licence which lasts for one year,” Barton told Auto, in response to the proposed plan.
Barton said — with each Coaster minibus employing at least four persons and Hiace bus at least two — it would mean that if all 400 private operators are to be displaced, at least 1,600 jobs would be directly affected, thousands indirectly.
“When we were granted the licences, they were for an extended period. There was no indication that they would be terminated so suddenly,” Barton added.
Campbell said the affected routes would include Duhaney Park to Half-Way-Tree and downtown Kingston; Harbour View to Mountain View; Manor Park to downtown Kingston.
“Duhaney Park to Half-Way-Tree is bread and butter for the JUTC,” Campbell said.
Since assuming the post in August, Campbell has embarked on several initiatives to bolster the company’s intake. Come next Sunday, the entity will discontinue the transfer ticket system which would see several commuters’ fare double.
Several bus drivers have been arrested as investigations continue into a major ticket scam at the company.
November 1 saw the start of a three-month trial run of designed bus lanes along the Mandela Highway.
“We have to provide a service… and we are asking all decent law abiding citizens to assist the JUTC provide a good and viable service,” he said.
— Balford Henry & Brian Bonitto