STM announces 300 job cuts as two strikes loom

A Société de transport de Montréal (STM) mechanic protests outside their facility in Montreal on Monday, Sept. 22, 2025. (Christinne Muschi/The Canadian Press)

Just days after two unions representing Société de transport de Montréal (STM) workers gave their employer strike notices, the company announced it is cutting 300 jobs.

Marie-Claude Léonard, director of the STM, said at a news conference Thursday morning that the move was part of the public transit agency’s optimization plan as it faces an “unprecedented” financial crunch.

She said the STM must cut $100 million from its budget over three years – down from its original five-year timeline – meaning it has to reduce expenses by $56 million in 2026 without affecting services.

As a result, Léonard says the STM cannot meet union demands.

• READ MORE: STM maintenance workers announce month-long strike dates

Salaries are the STM’s main expense, representing 70 per cent of its budget, she added.

Léonard said the STM left several jobs vacant and froze external hires over the last few months and the cuts will mainly be by attrition.

“Very few people will actually lose their jobs,” she said, adding that employees whose positions are cut may be reshuffled within the transit agency.

That includes 100 adapted transit drivers.

The union representing technical and professional staff at the STM responded in a news release, saying that it is outraged by the announcement.

“What is the STM playing at? Without informing employee representatives, except for a few minutes before making the public announcement, even though the parties are currently in mediation, the STM has decided to eliminate 300 positions. This is a flagrant lack of transparency and respect for workers,” said Stéphane Lamont, president of CUPE 2850, in a news release.

The union stresses that negotiations have stalled between the STM and four of its unions over the employer’s “disappointing” salary offers and “demands for significant concessions, mainly in terms of job security.”

According to the union, 1,800 people are currently working as subcontractors for the STM, which it decries.

The STM has requested mediation in negotiations with bus drivers, Léonard said.

Earlier this week, the union representing 2,400 maintenance workers announced its third strike since June, scheduled to begin on the evening of Oct. 31 and end on Nov. 28. Mediation is ongoing.

• READ MORE: STM and union still at an ‘impasse’ as second strike nears its end, negotiations to continue

The head of that union, affiliated with the CSN, said it will continue its pressure tactics until the STM budges.

“While the STM’s CEO was holding a press conference, I was at the bargaining table. If there is one party that is putting all its energy into reaching an agreement, it is us,” said said union president Bruno Jeannotte in a news release.

“Instead of reaching out to us, the STM is adding insult to injury by announcing the elimination of 300 jobs. We understand that the STM’s financial situation is difficult due to government underfunding. But it’s always the workers who bear the brunt of budget cuts,” he added.

Meanwhile, the union representing 4,500 bus drivers and Metro operators has announced three days of strikes: Nov. 1, Nov. 15 and Nov. 16.

Still, the STM says it is confident a strike can be avoided and is “encouraged” by negotiations.

Maintenance workers already went on strike twice since the summer, one from June 9 to 17, and another from Sept. 22 to Oct. 5.

The Administrative Labour Tribunal will now have to decide whether the essential services proposed will be sufficient before walkouts can take place.