[IMAGE]MET6workforce.jpg[/IMAGE]After more than three decades working for the same transit system, Arthur Smith [not his real name] was recently notified that his position as a project manager was being eliminated.

In his mid-50s, Smith is immediately eligible for early retirement with a reduced pension payout. He chose to accept early retirement, but not happily.

"This is not good news for me or my family," Smith says. "I had hoped to work for my employer for another nine or 10 years before retiring. Now I will need to seek other full-time employment."

Smith is not alone. The transit industry, like many private companies, is shedding jobs at a clip not seen in decades.

 In recent months, transit properties in many cities have announced plans to pare their collective staffing by thousands of employees, either through layoffs, hiring freezes or a combination of both. All told, approximately 100 transit systems across the U.S. have implemented or are considering service cuts that could lead to reductions in force.

Probably the best example is the New York Metropolitan Transportation Authority (MTA). At press time, the MTA was facing a projected $1.2 billion budget deficit that could force the elimination of 3,000 positions and the layoff of as many as 1,000 workers.

The "Doomsday Budget," as it's being called, sparked a street protest by 2,000 transit union employees who are angry about the proposed layoffs, as well as a possible wage freeze for employees who manage to keep their jobs.

In Washington, D.C., the board of the Washington Metropolitan Area Transit Authority (WMATA) eliminated approximately 300 positions to help reduce its budget deficit from $154 million to $29 million. But the board is considering service reductions for the coming year that could result in more job losses.

In St. Louis, Metro's recently approved budget will force the transit system to operate with nearly 500 fewer employees, mainly bus operators and mechanics. In late April, Metro officials were seeking a $20 million infusion of operating capital from Missouri legislature to restore some of the service that was cut on March 30.

In Southern California, about three dozen bus operators, union representatives and students held a mock funeral outside the headquarters of the Orange County Transportation Authority (OCTA) to showcase their anger over the recent elimination of 42 jobs. They carried a coffin with a sign saying "RIP Last Stop 2009."

Job stability goes awry

What was once an industry with an exceptionally stable workforce has obviously become shaky, and anxiety among transit employees is high. Public transit's ability to provide its employees with a dependable - if not lucrative - career has weakened.

The fallout has been a loss of morale. In a survey of more than 100 transit employees conducted for this article, three of five (61 percent) said the recession has hurt morale at their organization. One in 10 respondents said they weren't sure whether morale is down, and 29 percent said morale has not been harmed by the recession.

Here are some comments from survey respondents on the question of whether the recession has hurt morale:

  • "Our funding was cut last year due to tax legislation. We had to cut service and only got a 1 percent raise. We all had our department budgets cut and we are in a hiring freeze. Across the bay, some of our peers have lost their jobs. This is too close to home."
  • "We have downsized on a small scale; however, greater reduction of workforce and service is looming. We are concerned for the public we serve, for our department and our personal livelihood. The next few years will be a challenge."
  • "The stress associated with knowing what drastic budget-balancing measures have been employed in other agencies and anticipating the worst case for our agency has adversely affected morale. Just recently we learned that we are fortunate that layoffs are not needed at this time; only a hiring and wage freeze has been enacted."[PAGEBREAK]

Is enough being done?

Meanwhile, of the 61 percent of the respondents who said the recession has hurt morale, more than half (55 percent) believe that their employer has not taken steps to improve the confidence of their workers. About one-third (33 percent) said their employer have responded adequately, and 12 percent weren't sure.

The following comments underscore the wide range of emotions that the economic downturn has engendered among transit employees:

  • "There is some recognition that staff is being asked to do more with less, but there is only a superficial attempt to reassure staff of our value while at the same time added pressure and increased secrecy about the direction the organization is headed."
  • "Employer has regular communication with employees; however, employees do not think that management is telling the truth."
  • "As management, we understand these issues; however, most of our employees are bus operators and mechanics. The message doesn't always filter down to them. They see us getting stimulus funds that can only be used for capital items such as new buses. They are scratching their heads thinking, where's my raise?"

Employees need reassurance

Overall, transit systems may be more insulated from reductions in force, furloughs and salary freezes than their private-sector counterparts, but the employees' need for reassurance is still high. According to business psychologists, the stress created by layoff survivor guilt, heavier workloads and uncertainty can lead to anger, depression and physical illness.

This stress can also cause reduced job performance. Even though many employees are happy to still have a job, many fear that the worst has yet to happen and their jobs are in peril. This floating anxiety distracts them from their day-to-day duties and can make them more territorial, a natural response to concerns about losing their jobs.

Teri Fisher, CEO and founding partner of Insight Strategies, a Redondo Beach, Calif.-based leadership and management consulting firm, says transit managers need to step up as leaders during this economic crisis. "People are longing to hear the voice of hope and inspiration," she says. "Remind employees of the organization's purpose and how they can contribute to it. Have more visibility than usual. For example, take the long walk to your office and get a quick pulse-check on how people are doing."

Fisher, who has worked with the Los Angeles County Metropolitan Transportation Authority, WMATA, OCTA and MV Transit, says managers need to be aware that insecurity and doubt are natural reactions to crisis and suggests that managers look for opportunities to validate their employees' contributions. "Especially give attention to those that demonstrate 'teaming' behavior, since teaming behavior is most challenged during times like this," she says.

Communicate - honestly

How are transit employers addressing recession-related workforce issues?

At North County Transit District (NCTD) in Oceanside, Calif., Executive Director Matthew Tucker is taking extraordinary measures to prepare his employees for possible layoffs as the district, facing a $2.5 million deficit for the upcoming fiscal year, considers a proposal to outsource its bus services.

Tucker has told NCTD employees that they need to look out for themselves. "My job is to make sure that taxpayers and the riding public are being served, but I also care about our employees," he says. "What we're looking at [in regard to outsourcing bus services] needs to be discussed in an open, transparent way."

An NCTD employee who wished to remain anonymous appreciates Tucker's candor. "He is doing a good job of talking to employees," she says. "The communication alleviates some of the stress for employees, especially when he informs them to look for a job. A person cannot get any clearer message than this."

At Community Transit in Snohomish County, Wash., sales tax revenues are down 15 percent this year compared to 2007 levels, requiring managers to find areas where cuts can be made. In addition, the agency has instituted a hiring freeze and executive staff have voluntarily frozen their wages.

In March, CEO Joyce Eleanor conducted a series of employee meetings in which she outlined the agency's financial situation. "Many employees expected her to announce layoffs or service cuts, as public agencies around us are doing," says Martin Munguia, Community Transit's public information officer. "But Joyce instead simply shared pertinent revenue information and asked employees to help identify ways to balance the budget."

Munguia says the response to Eleanor's meetings was very positive. "Many employees commented that they were relieved and grateful that she was sharing information and seeking input," he says. "The watercooler talk around the agency has certainly reflected the fact that we have not let go of any employees and we have had a chance to find a solution to keep jobs."

Ray Melleady, executive director of the Capital District Transportation Authority in Albany, N.Y., agrees on the importance of sharing information. "People fear uncertainty and to the extent that you can minimize the unknown, it helps," he says. "The employees at CDTA are well informed of our financial circumstances and for the most part understand."

Like so many others in the transit industry, CDTA has experienced falling revenues to support its operations. Melleady says the agency has seen one local revenue source drop from $15 million two years ago to $10 million this year. "At the same time, we have experienced reductions in state aid for transit operations to the tune of about $2 million. We have been able to offset these losses using a three-tiered approach that includes a 50-cent fare increase on most of our services, internal belt-tightening and service reductions."

[PAGEBREAK]

Beat the news headlines

At Dallas Area Rapid Transit (DART), sales tax revenue for fiscal year 2009 has come up $46 million short of projections. "It's a difficult situation," says Ben Gomez, executive vice president of administration, especially as DART moves forward on an aggressive light rail expansion program. But belt-tightening and a slowdown in administrative hiring has helped to close the gap. "What we did not do, or have planned, is to lay off people," Gomez says.

This, of course, is good news for DART employees. As the agency starts its budget process for fiscal year 2010, it wants to keep employees in the loop. "We declared to our management team that we're going to do our best to preserve jobs," Gomez says. The managers, in turn, will brief their staffs about the situation.

Also getting a full airing is news about the proposed 3 percent wage increase for salaried and hourly employees. "What we said was, 'Because we're working so hard on this expansion program, we're doing everything we can to protect that increase,'" Gomez says. "However, we did say that, given the situation, we asked our senior leaders to expect to take a pay freeze."

Key to DART's employee communication program is transparency - and speed. "When we have news, we try to get it out to our employees as quickly as we can," Gomez says. "We want to beat the media. I don't want our employees to read it in the headlines before they hear it from us."

Fisher of Insight Strategies agrees that increasing the flow of information to employees is important during tough times, but she points out that "listening skills" also need to be deployed. "Listen, listen and listen more," she says. "Give employees a forum to express concerns. Let them clear out their emotions so they can focus on the work at hand."

To this end, Gomez, DART President Gary Thomas and Victor Burke, executive vice president of operations, take "road trips" to the organization's various divisions and meet with small groups of employees to maintain visibility and address employee concerns.

This year, eight of DART's executive management team competed in a "celebrity bus roadeo" in a visible display of support of employees. "We wanted to show them that we really appreciate what they do," Gomez says. "We received a lot of positive comments. Some just said, 'We're glad to see you out here with us.'"

Investment in higher morale

Although most transit systems have been forced to reduce their costs because of recession-related revenue shortfalls, not all of them have suffered direct hits.

For example, the Rock Island County Metropolitan Mass Transit District (MetroLINK) in Moline, Ill., has not had to impose budget reductions on its workforce. But that doesn't mean that the recession hasn't affected its staff.

"Times are tough," says Jennifer Garrity, MetroLINK's manager of administration. "Our bus operators are on the front line and they see a lot of the recession's impact every day with their customers. If those people are hurting, it affects the operators, too."

To keep employee spirits high, MetroLINK recently brought in motivational speaker Tamara Hall to address the entire workforce. "It was the first time we've done something of this magnitude," Garrity says. "We were talking about our annual training and wanted to bring in someone who could bring fun and energy and get people excited about what they do."

Garrity saw Hall speak at an APTA conference and thought she would be perfect for the occasion. At a cost of $5,000, Hall spoke to all 150 of MetroLINK's employees during three separate sessions. "The feedback we got was incredible," Garrity says. "Every single person was touched by what she had to offer. It was truly a morale builder."

[PAGEBREAK]


Polishing transit's image as a choice employer

Raising the profile of the transit industry as an employer of choice has become a critical issue. Many of the most experienced and talented managers will be retiring in the next several years, creating a leadership gap. In addition, the economic downturn has created an opportunity to attract highly skilled workers who once would not have been available to the transit industry.

Last October, Beverly Scott, chair of APTA and GM of the Metropolitan Atlanta Rapid Transit Authority (MARTA), created APTA's Blue Ribbon Panel on Workforce Development to accomplish three tasks - to help identify and make available programs and resources that support the industry's workforce needs, to lay out a plan for workforce development over the next five to 10 years and to rebrand and reposition transit as an employer of choice.

The task force activities will be closely integrated with the ongoing work of the APTA Human Resources Committee to provide a global view of the requirements and opportunities that exist now and will develop in the industry. The initiative will encompass both public agencies and their business member suppliers, requiring leadership and participation from both public and private sectors. Both groups are represented throughout the panel's subcommittees.

To oversee the branding and imaging of transit as a desirable career destination, Scott named two co-chairs - Stephanie Pinson, president of Gilbert Tweed International, and Alan Wulkan, managing partner of Infraconsult LLC.

Over the next several months, Pinson said the committee will develop a national workforce image campaign to increase the visibility and attractiveness of public transportation careers.

The campaign will target a diverse group, including young people at all educational levels; young professionals with engineering, marketing and general management skills; and young candidates for front-line positions such as operators and mechanics. "Further outreach should be targeted to the mature audience who may now be available through job loss or because financial erosion requires retirement delays," Pinson says.

Wulkan says this is an excellent time to begin a serious career education and recruiting effort for transit. "We have for the first time in a long time, the opportunity to upgrade people, equipment, technology, delivery of truly excellent customer service and a population that is prepared to buy what the industry can offer," he says. "We also have a government that shows willingness to support the effort with cash and with policy support."

Another committee goal is to promote university transportation centers such as the Mineta Transportation Institute at San Jose State University and the University Transportation Research Center at the City University of New York, as well as the American Public Transit Foundation scholarship program. "All are great role models for educating gifted young people with an interest in transit," Pinson says.

 Approaching students still attending high school is another image-building strategy that will be pursued. "We need to reach out to the public schools, to the teachers and to the guidance counselors," Wulkan says. "If we can take advantage of the opportunities now available, we can revolutionize the industry and its people. This is critical to what must be seen as a sustainable resource for an efficient society with a mobile workforce."

Steve Hirano is president of TransitTalent.com an online career resource for the public transportation industry.

 

 

0 Comments