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Local News>JIO outsources highway job to Minott subsidiarySusan Gordon - Business Reporter |
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Jamaican Infrastruc-ture Operator Limited (JIO), the managers of the toll infrastructure for Highway 2000 has since May, outsourced the core aspect of its operations to Management Services Limited, a human resource company and subsidiary of Minott Equipment and Chemicals Limited.
Management Services, a five-year-old company, will operate the toll plazas and booths, maintain the landscape and keep the highway clean - jobs formerly handled by JIO, a subsidiary of Bouygues, which owns the highway under concession.
Colin Murray, JIO's financial and administrative manager, said the move was to free up the company to focus on other areas of highway operations and maintenance stipulated in the 30-year concession agreement with TransJamaican Highway, another Bouygues subsidiary.
Dictated By Consensus
"The opening of the Highway is dictated by a consensus agreement. There are some very rigid clauses on performance contracts," said Murray.
The 'build own operate and transfer' agreement between Bouygues and Jamaica calls for the continuous maintenance of the highway pavement or drivable surface.
Under the network set up by Bouygues, TransJamaican High-way oversees the concession, Bouygues Travaux is developer of the infrastructure and JIO, the operator of the highway, and the company responsible for patrolling, safety intervention in cases of breakdowns and attending to disabled vehicles.
By outsourcing its human resource functions, JIO also aims to cut costs and make its operation more efficient.
"Human resource management can take up some time and this is the strategic route that some companies take," said Murray.
Selling T-Tags
JIO will retain the business of selling T-tags, whose sales account for 15 per cent of the motorists passing through the three toll booths that span the highway.
Management Services will now be responsible for all the company's human resources and related functions including, recruiting, payroll preparations, salary benefits and industrial disputes.
"Tag-sales staff is also in the employ of the HR management company, but JIO is still ultimately in charge of the operations," said Murray.
In a media release in April, JIO said it would have outsourced its toll collectors, safety and maintenance officers, customer service representatives, technicians, electricians and some administrative staff operating at its three toll plazas, at Portmore, Vineyards and Spanish Town in St Catherine.
JIO cut 110 staff in the process, reducing its complement to 52.
But Murray says some of the 110 workers who lost their jobs at JIO were re-employed by Management Services.
susan.gordon@gleanerjm.com