Toronto Hydro is offering a voluntary buyout to unionized employees as it seeks to slash its workforce by 20 per cent in the wake of an Ontario Energy Board ruling.
The troubled utility is also putting two properties on the block – one of them its operations centre at 5800 Yonge St., formerly the headquarters of North York Hydro.
Buyout offers went out Thursday to about 460 unionized employees at Toronto Hydro.
The workers have been given a deadline of Feb. 24 to accept the offer. Those who accept must agree to leave on March 9.
The company has already let go close to 60 management and executive staff, and is seeking a further 280 reductions from union ranks.
The utility has about 1,700 workers, 1,100 of them unionized.
Toronto Hydro’s Tanya Bruckmueller said the buyout offer is not being made to skilled trades workers who install and maintain wires, transformers and other equipment.
Those receiving the offer are in administrative and support roles, including the call centre, she said.
Layoffs could still occur if enough employees do not take the voluntary buyout.
“If we get good take-up (on the buyout), hopefully we would avoid layoffs,” she said.
Toronto Hydro has been hiring and training apprentices to replace a rapidly aging staff of skilled workers.
“We’re hoping to keep our apprentices that we’ve recruited over the past five years,” said Bruckmueller.
The company is seeking to slice $20 million in annual costs.
“It’s part of our effort to keep rates low by reducing our budget.”
The offer contains no enhanced pension benefits, she said.
John Camilleri, president of Canadian Union of Public Employees Local One, said the reductions will affect service at the company.
“Who’s going to be doing the work?” he asked.
Camilleri questioned whether the move would achieve the immediate savings the energy board is looking for, since many workers who take the buyout will still have to be paid for more than a year.
Toronto Hydro has been cutting back since the energy board made a preliminary ruling last month blocking its application for a massive increase in spending to renew aging equipment.
The proposed spending program of $1.6 billion over three years would have increased a typical household hydro bill by about $5 a month in each of the three years.
The energy board offered an alternative method of applying for spending and rate increases, but Toronto Hydro says the cuts now under way will be needed no matter what happens.
In addition to the operations centre at 5800 Yonge St. north of Finch Ave., Toronto Hydro will be selling a works centre on Underwriters Rd. in the Warden-Birchmount area.
Operations from both buildings will be consolidated into existing Toronto Hydro properties.
Original Article
Source: Star
Author: John Spears
The troubled utility is also putting two properties on the block – one of them its operations centre at 5800 Yonge St., formerly the headquarters of North York Hydro.
Buyout offers went out Thursday to about 460 unionized employees at Toronto Hydro.
The workers have been given a deadline of Feb. 24 to accept the offer. Those who accept must agree to leave on March 9.
The company has already let go close to 60 management and executive staff, and is seeking a further 280 reductions from union ranks.
The utility has about 1,700 workers, 1,100 of them unionized.
Toronto Hydro’s Tanya Bruckmueller said the buyout offer is not being made to skilled trades workers who install and maintain wires, transformers and other equipment.
Those receiving the offer are in administrative and support roles, including the call centre, she said.
Layoffs could still occur if enough employees do not take the voluntary buyout.
“If we get good take-up (on the buyout), hopefully we would avoid layoffs,” she said.
Toronto Hydro has been hiring and training apprentices to replace a rapidly aging staff of skilled workers.
“We’re hoping to keep our apprentices that we’ve recruited over the past five years,” said Bruckmueller.
The company is seeking to slice $20 million in annual costs.
“It’s part of our effort to keep rates low by reducing our budget.”
The offer contains no enhanced pension benefits, she said.
John Camilleri, president of Canadian Union of Public Employees Local One, said the reductions will affect service at the company.
“Who’s going to be doing the work?” he asked.
Camilleri questioned whether the move would achieve the immediate savings the energy board is looking for, since many workers who take the buyout will still have to be paid for more than a year.
Toronto Hydro has been cutting back since the energy board made a preliminary ruling last month blocking its application for a massive increase in spending to renew aging equipment.
The proposed spending program of $1.6 billion over three years would have increased a typical household hydro bill by about $5 a month in each of the three years.
The energy board offered an alternative method of applying for spending and rate increases, but Toronto Hydro says the cuts now under way will be needed no matter what happens.
In addition to the operations centre at 5800 Yonge St. north of Finch Ave., Toronto Hydro will be selling a works centre on Underwriters Rd. in the Warden-Birchmount area.
Operations from both buildings will be consolidated into existing Toronto Hydro properties.
Original Article
Source: Star
Author: John Spears
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