crs1026
Superstar
Don't forget that while OnXpress is taking over the rail operations, the bus operations are going no where - for now.
Yes, there may be some headcount reduction, but a large part of the organization is dedicated to making sure that the buses run everyday, and they aren't going anywhere.
That's fair, and I don't have any accurate data on the ML org chart or how much of the organization is affected by losing the rail functions. So it's hard to say how much of a hit the ML orgainization is taking through Onxpress.
However, the management take on this is a pretty good test of whether ML sees itself as a government bureaucracy or as a business organization. Any market-based bottom-line-focussed organization that drops a product line (or subcontracts it out) will be making reductions immediately. A public sector bureaucracy will fight to retain head count - size is power.
- Paul