Wolves at the door
Page 4
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STABILISING Government expenditure at 1978-9 levels, which is something quite different from a cutback, will affect many bus and coach operators. The now widely accepted schools contract may need some revision.
Local-government councillors and officials are bound to look at transport, 31ong with other items of expenditure, in their efforts to contain the iituation. This could mean a loss of contract to many operators, with Jisastrous consequences.
Two courses are open to those threatened. They must rethink their nethods of operation and look now for an alternative source of revenue.
Contracts might be saved through more economic operation. This could )e achieved by better routeing and co-operative working. Also, joint servicing programmes with neighbouring operators are worth xamining. Such a scheme can show benefits in both labour and material osts. Its success depends on mutual trust, an attribute not all that common 1business.
Many years ago when tipper operators were going through a similarly ifficult period, for different reasons, they closed ranks and prospered. That me has now come for the smaller coach operators. Those who have been working for less than the going rate will be in xtreme difficulty. The others, who the industry wants ) retain, will find belt tightening a ?warding exercise and infinitely more ttractive than death by starvation.