Greyhound cancelling bus service in province

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Tradesmen put the final touches on the ticket counter at Greyhound's new airport bus terminal in August. (PHIL.HOSSACK@FREEPRESS.MB.CA)

WINNIPEG — Greyhound Canada has decided to cancel its passenger bus service in Manitoba and Northwestern Ontario, effective 30 days from today.

The company said the "very difficult" decision was based on oppressive legislative and regulatory regimes by both the provincial and federal governments.

"Our financial situation is dire and we are no longer in a position to absorb losses that are almost solely attributable to government policies," said Stuart Kendrick, the company's senior vice-president.

The company is providing 30 days notice to the Manitoba Highway Traffic Board, so that all passenger tickets sold here to date will be honoured.

If Greyhound follows through on its threat, it will be impossible to travel by bus across Canada, or between communities in Manitoba. Westbound buses from Toronto would stop at Sault Ste. Marie, a union official said.

Greyhound says it is also reviewing its services in Alberta, Saskatchewan, British Columbia and the North.

Federal Transport Minister John Baird says Greyhound Canada is trying to "bully" the provinces by announcing it will cut bus service to Manitoba and northwestern Ontario.

Baird says the company is being "heavy handed" in an effort to get subsidies from provincial governments.

"They're seeking tens of billions of dollars of taxpayers money as a subsidy. That's why they're targeting Manitoba and Ontario," he said.

He adds busing has been a provincial responsibility since the 1950s.

The Manitoba government said this afternoon it’s very concerned about a potential loss of Greyhound bus service to northern and rural communities, and it’s committed to work out a solution to keep the buses running.

"We are very determined to work with not only Greyhound but the federal government to make sure that we have a solution to this impasse," said Conservation Minister Stan Struthers, pinch hitting for Transportation Minister Ron Lemieux, who was out of the city.

"We think that it’s an evolving issue that can still be sorted through," Struthers said. "If all people at the table have a commitment to making this work I think that we can have a positive outcome."

Struthers said the province was only made aware of Greyhound’s intentions on Tuesday. He said it has not yet received any formal demands from the bus company.

In Ontario, former provincial NDP Leader Howard Hampton, who still represents the riding of Kenora-Rainy River, pointed out that Greyhound is crying poor in Manitoba even though it just built a new terminal at the Winnipeg airport.

The threat, he said, is a ploy.

"I have no doubt that they're probably losing money in some places, but this is more than anything else a bargaining tactic."

Given Manitoba's NDP leadership race to replace outgoing Premier Gary Doer, Hampton said he expects to see some sort of proposal for a not-for-profit bus line to ensure smaller communities have service.

Ontario Premier Dalton McGuinty should consider doing the same, he added.

At the new station in Winnipeg, passengers reacted with surprise and dismay at the news that Manitoba is first on the list to lose bus service.

Several passengers said they rely on Greyhound every few weeks to travel from outlying towns into the city.

"It's the cheapest option a lot of the time," said Sam Nabi, a 19-year-old university student. "I'm familiar with this system now that I've been using it for a while. It's usually my go-to option,"

Nabi is from Whitby, Ont., and was making his way back home on the bus after spending the summer in Alberta.

"I am very surprised. I thought it was always there. There are signs in some of the terminals saying, 'Greyhound here for 75 years' and I don't know what other options there would be."

Governments at all levels should do whatever they can to stop the bus line from pulling out, he said.

"It should be a priority. If the federal government needs to take ownership of Greyhound to keep it alive, then I think that's totally appropriate."

Barry Rempel, president and CEO of the Winnipeg Airports Authority, told a Winnipeg radio station that Greyhound has promised that parcel service will continue through the new terminal at the airport.

He said he expects something can be worked out on the passenger side as well.

"I really believe that there is a solution. I do know that many, many people are working in the background to try and come to a quick resolution on this.""

Greyhound, founded in 1914 in the United States, is the largest provider of inter-city bus transportation in Canada, serving 700 communities with 1,000 daily departures. It also operates in Quebec, New Brunswick and Nova Scotia.

geoff.kirbyson@freepress.mb.ca

larry.kusch@freepress.mb.ca

With files from the Canadian Press

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