Kathy Haley has resigned as head of the Union Pearson Express effective March 31st. She has been employed by Metrolinx since July 2011 and came in with high hopes to run a successful airport express. There are two interesting videos on YouTube that encapsulate the hopes and aspirations of Ms. Haley and they certainly don’t seem to mesh with reality.
Watch this first video taken in Vienna when she confidently announces, “I’m developing and building a new air-rail link for Toronto”. Along with giving the impression of building the train single-handed, she frames herself as a person able to explore and adopt the needed expertise.
In the second video, taken in late 2014, Ms Haley makes some excellent points about marketing and the customer, “If you put the voice of the customer on the table, it’s hard to argue with his or her voice”. Unfortunately those words were uttered just months before the UP Express opened in July 2015 with outrageously high fares. Presumably once the train began running, it became hard to listen to the customers because they were nowhere to be found.
Once the UP Express was up and running, Ms. Haley became its official cheerleader and her new goal was to get more bums on seats. The bean counters in the Ontario Liberal Government had decided that operating costs had to be recouped through passenger revenue and Ms. Haley was given the impossible task of encouraging people to pay exorbitant fares that were devised by and approved by the Ontario Government through the nodding heads of the Metrolinx Board. All this in spite of the Auditor General’s advice (based on Metrolinx’s own figures) that ridership would be low and a fare price over $22.50 would be too high. The Board decided that regardless of the reality, high fares would not be a problem for the target customers (presumably those mythical captains of industry for whom money was no object).
As the months dragged on with no significant change in ridership, Ms. Haley was regularly seen earnestly arguing that despite the awkward facts, passenger numbers really were improving and a breakthrough was imminent. This flew in the face of many anecdotal reports of almost empty trains. Each grudgingly parsimonious fare promotion and discount was greeted with excitement by Ms. Haley and with a yawning indifference by the public. Bums remained off seats.
The final straw came during the most recent Valentine’s Day giveaway when hordes of people waited for hours to try out the service. The glaring gap between the huge interest in UPX and Ms Haley’s declaration that ‘once people know that we’re here, passengers will flock to the service’ simply became untenable. The truth was quite simple. Fares were too high. Their reduction finally came about through a humiliating but necessary intervention by the Premier. Already passenger numbers have doubled as fares have become affordable. Weston residents have a fast portal to downtown for a reasonable cost.
It’s hard to feel sympathy for someone who earns an such an awesome salary ($249,020.54 in 2012). No doubt she has a golden parachute to soften the landing until the next well-endowed gig comes along. While her resignation is understandable, the other players in this debacle (in the immortal words of Ricky Ricardo), “Have some ‘splainin’ to do”. These would be the Metrolinx Board of Directors, Metrolinx Chair Robert Pritchard, CEO Bruce McCuaig and Transportation Minister Steven Del Duca.
Last but not least, the Premier was herself Transportation Minister in 2010 when private consortium SNC Lavalin pulled out of building UPX when it was clear there was no chance of making a profit. She knew the task was impossible from the start. Wouldn’t it be nice if all players acknowledged their individual blame in this sequence of events instead of hoping that Ms Haley’s departure will clear the air? Some more resignations would not go amiss.