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Greyhound to cut all bus routes, shutdown operations in Canada

Once the border reopens, American affiliate Greyhound Lines Inc. will continue to operate cross-border routes to Vancouver, Toronto and Montreal
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Greyhound Canada is permanently cutting all bus routes across the country, shutting down the intercity bus carrierB次元官网网址檚 operations in Canada after nearly a century of service. (Bloomberg/Daniel Acker)

Greyhound Canada is permanently cutting all bus routes across the country, shutting down the intercity bus carrierB次元官网网址檚 operations in Canada after nearly a century of service.

Its American affiliate, Greyhound Lines, Inc., will continue to operate cross-border routes to Toronto, Montreal and Vancouver once the border reopens.

The decision comes a year after Greyhound Canada temporarily suspended all service due to a sharp decline in passengers and mounting travel restrictions amid the first wave of COVID-19.

The bus carrier has struggled for years with declining ridership, increasing competition and deregulation.

But the complete loss of so-called farebox revenue during the pandemic has forced the company to permanently cease operations, said Greyhound Canada senior vice-president Stuart Kendrick.

B次元官网网址淚tB次元官网网址檚 been a very tough decision and one weB次元官网网址檝e taken with a heavy heart,B次元官网网址 he told The Canadian Press in an interview. B次元官网网址淚tB次元官网网址檚 been a lifeline for many Canadians for more than 90 years. This will have a massive impact.B次元官网网址

The decision is a blow to rural and remote areas that rely on a patchwork of private intercity bus companies for transportation.

The service has long been part of a network linking smaller communities and big cities, offering an affordable and convenient mode of travel for everyone from essential workers and students to the elderly and backpackers.

Yet the rise in car ownership, ride sharing, discount airlines and urban migration has slowly eroded bus ridership, leading Greyhound Canada to gradually reduce the frequency of some services and cut other routes altogether.

B次元官网网址淧rivate carriers are relying on the farebox revenue to maintain these rural routes,B次元官网网址 Kendrick said. B次元官网网址淲hen ridership declines, we have a decision to make. We either cut the frequency, exit the rural markets or look for some help.B次元官网网址

Citing declining ridership, deregulation and subsidized competition, Greyhound Canada suspended all operations in Western Canada in 2018.

Yet despite the ongoing challenges with its remaining routes, nothing could have prepared the company for the dramatic 95 per cent drop in passengers at the outset of the pandemic, Kendrick said.

Multiple coach bus companies teamed up and approached the federal and provincial governments for financial aid amid mounting COVID-19 restrictions. But Kendrick said they were referred to existing pandemic supports B次元官网网址 what he called B次元官网网址渘egligibleB次元官网网址 for the beleaguered passenger transportation industry B次元官网网址 prompting Greyhound Canada to temporarily suspend all service last May.

B次元官网网址淭hereB次元官网网址檚 really been a lack of support,B次元官网网址 Kendrick said. B次元官网网址淲e donB次元官网网址檛 get subsidies.B次元官网网址

Intercity bus carriers are also competing with publicly funded train and transit systems, he said, putting private companies at a disadvantage.

The Ontario government has also promised to deregulate the intercommunity bus industry starting in July, a move that would end Greyhound CanadaB次元官网网址檚 control of certain routes.

B次元官网网址淲e have had exclusive private bus service on certain corridors,B次元官网网址 he said, noting that it provided passengers with safe, frequent and affordable service.

B次元官网网址淕reyhound CanadaB次元官网网址檚 tough decision today is going to have a massive impact on customers, especially those riding in the rural network.B次元官网网址

About 260 employees were laid off after Greyhound Canada temporarily ended its passenger service last May. An additional 45 employees will be laid off as a result of the permanent closure, Kendrick said.

The company plans to sell the bus stations it owns, he said. As for its leased properties, some of the agreements have expired or have an B次元官网网址渙ut clause,B次元官网网址 while it will honour the terms of leases itB次元官网网址檚 obliged to continue paying, Kendrick said.

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