Winnipeg Transit Faces $8.5 Million Revenue Shortfall Amid Declining Ridership

Winnipeg Transit is poised to lose approximately $8.5 million in fare revenue this year, as ridership continues to decline. This significant shortfall has been attributed to a drop in passengers using the bus service, which has fallen to just 89 percent of pre-pandemic levels recorded in 2019.

During a public works committee meeting held on November 30, Laurie Fisher, the finance manager for Winnipeg Transit, reported that the organization had not anticipated such a drastic reduction in ridership. The city’s annual ridership reached 48,770,208 in 2019, and while Transit had hoped to recover to those numbers, the current situation has raised concerns.

Fisher acknowledged that some riders who choose not to pay fare are contributing to the revenue loss. Despite the projected shortfall, due to savings in fuel and carbon tax costs, Transit expects to finish the year with a $400,000 surplus.

Impact of Transit Network Changes

The decline in ridership has been partly linked to the recent overhaul of Winnipeg’s primary transit network, which was launched on June 29, 2024. Transit officials have noted that the transition to this new system has prompted mixed reactions, with some riders experiencing longer travel times and inconvenient routes. Bjorn Radstrom, manager of service development at Transit, explained that the learning curve associated with the new network has likely dissuaded some passengers from using the service.

Radstrom highlighted that while ridership was anticipated to decrease during the transition, the decline began earlier, suggesting external factors may also be at play. Other transit systems have reported similar ridership reductions, although the underlying reasons remain unclear.

Concerns about safety have been raised by Councillor Janice Lukes, chairwoman of the public works committee. She stated that repeated security issues may have deterred potential riders. In 2024, the Winnipeg Police Service documented 325 violent crimes at Transit locations, which has led to the implementation of a “targeted safety strategy” focusing on buses and nearby areas.

Consequences and Future Outlook

The president of the Amalgamated Transit Union Local 1505, Chris Scott, expressed his concern over the revenue loss, describing it as “a bit of a surprise and a bit of a concern.” He pointed out that the reduction in late-night service, part of the transit overhaul, could be a significant factor contributing to the decrease in ridership.

As the weather turns colder, Scott worries about the potential impact on those who rely on public transport. He noted that the city must address these issues swiftly to avoid a “death spiral,” where reduced ridership leads to diminished services, further exacerbating the problem.

For many riders, the changes have prompted drastic decisions. Harleen Deol, a student at the University of Winnipeg, shared her experience of buying a car after the new routes were implemented. She noted that her commute doubled in time as her bus no longer operated at night, leading to significant inconvenience.

Another rider, Taylor Reisdorf, echoed similar sentiments, stating that his commuting experience changed dramatically, leading him to rely less on the bus service. As temperatures drop and winter approaches, concerns for public transport users without adequate shelter at bus stops continue to grow.

In conclusion, Winnipeg Transit faces a critical challenge as it navigates declining ridership and revenue. The city and Transit authorities must evaluate the factors contributing to this trend and take decisive steps to enhance service and safety to restore public confidence in the transit system.