Metro will eliminate 500 “non-essential” jobs in the wake of declining ridership and costly repairs, according to a staff notice released Monday by the transit agency’s chief executive.
Metro General Manager Paul J. Wiedefeld outlined plans to make the beleaguered transit system more “fiscally accountable” by downsizing the workforce and restructuring management, as Metro faces $18 billion capital budget deficit over the next decade, a $2.5 billion unfunded pension liability and a $300 million shortfall in its fiscal 2018 budget.
“Since coming to Metro, I have shared with all employees my priorities for safety, reliability and putting our financial house in order,” Mr. Wiedefeld’s notice reads.
The transit chief’s “priorities” since taking charge of Metro in November have included the hiring of Joseph Leader as chief operating officer this month and the termination of 20 non-union managers, including seven senior managers, in May.
In his notice Monday, Mr. Wiedefeld stressed the need for the new round of staff cuts in order to “operate in a businesslike manner and achieve cost savings” in fiscal 2017, which begins Friday. This second round will affect managers and those in lower-level positions.
The cuts will “work to maximize cost savings from redundant and non-essential business functions,” said Mr. Wiedefeld.
SEE ALSO: Joseph Leader, New York subway veteran, named D.C. Metro chief operating officer
Effective Monday, the Office of Management and Budget has been instructed to provide lists of “non-safety critical, non-essential vacant positions” for termination.
It is unclear how many of Metro’s 13,000-member workforce will be affected by the cuts, as not all transit positions are currently occupied.
Mr. Wiedefeld estimated the process will take several months, as some of the positions are occupied by union members and will require negotiations between labor representatives and department heads. According to his notice, Metro’s human resources specialists will facilitate the departure of non-union members.
Metro currently is negotiating contracts with its unions, including the largest — Amalgamated Transit Union Local 689, which represents more than 13,000 active and retired bus and rail operators, station managers, and maintenance and clerical employees.
Metro’s money woes stem from mismanagement of federal grants and a decline in ridership.
The Federal Transit Administration has kept close watch on the money it provides to Metro since a 2014 audit found that the transit agency could not account for millions of dollars it had spent. This restricted funding has made the decline in funds from rider fare more acutely felt as well.
SEE ALSO: Metro riders feel pain of second repair phase
Metro ridership dropped to a low in 2015 “not seen since 2004,” and the decrease has continued.
Due to the ongoing “SafeTrack” plan, a yearlong effort to repair the aging transit system’s infrastructure, transit officials have instructed commuters to find alternative modes of transportation, further decreasing rider revenue.
The second phase of repairs, which began June 20, saw significant ridership decrease during the first Monday morning commute.
Metro officials reported that a large number of riders had followed the transit agency’s suggestions, with inbound morning ridership down 65 percent compared to a typical Monday from New Carrollton to Minnesota Avenue and from the Largo Town Center to Benning Road — where rail repair is taking place.
Mr. Wiedefeld will host a news conference Tuesday at 1 p.m. to discuss the expectations of SafeTrack surges three and four, which involve line segment shutdowns between National Airport and Braddock Road and National Airport and Pentagon City. It will significantly reduce Blue and Yellow line service from July 5 to July 18.
• Aubri Juhasz can be reached at ajuhasz@washingtontimes.com.
• Deborah Simmons can be reached at dsimmons@washingtontimes.com.
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