Norwegian public transport has changed radically the last fifteen years. Competition in the market has increased, and subsidies have declined. Tendering regimes have been introduced. There is evidence of negative effects of tendering on public transport staff. When a contract is lost, employees are subjected to sudden unemployment which is a major stress factor. Many may seek work in other trades. Transport companies then experience recruitment problems. Unemployed workers are often engaged by the winning operator. Benefits from the unsuccessful operator do not follow the employee to his new employer. Employees lose pension and seniority benefits. Investigations in two Norwegian counties indicate that the tendering of bus services has caused short term cost reductions, but that employees lose out when the lowest bid wins. New contractual forms and tendering procedures are being considered. For the covering abstract see ITRD E124693.
Abstract