June 1 - 30, 2026: Issue 655

 

Bus disruptions due to industrial action

B1 at Warriewood. Photo: Joe Mills

Wednesday 17 June 2026: Transport for NSW Notice

Bus services are expected to continue operating however customers may experience limited or unavailable real-time bus tracking.

As part of the industrial action, onboard Opal card readers may be turned off on some buses which means real-time tracking information may not be visible in travel apps and online journey planners. 

This may make it more difficult to plan your journey or track when your bus will arrive.

The disruption is expected to affect services across Sydney’s northern beaches and the lower North Shore, including buses starting and finishing in the CBD. The operator of this region is Keolis Northern Beaches.

Transport is working closely with the bus operator to minimise the impact where possible. 

Maps

Map of areas that may be affected by industrial action across Sydney’s northern beaches, Lower North Shore and CBD – highlighting Palm Beach, Pittwater, Avalon, Mona Vale, Collaroy, Frenchs Forest, Wakehurst, Manly, Chatswood, Willougby, Mosman, North Sydney and Sydney.

Background
Bus drivers in the Region 8 of Sydney have commenced industrial action. As a first step, RTBU members stopped wearing their uniforms. The action is unlikely to cause any disruption to passengers, and it is hoped will nudge Keolis Downer into a better offer. Workers are seeking a decent wage increase to keep up with the cost of living and improved conditions. 

It is worth noting that no agreement was reached between Keolis Downer Hunter and the RTBU after more than a year of negotiations and industrial action including stoppages on Newcastle’s buses. 

The long running dispute between Keolis Downer Hunter and the RTBU in relation to buses in the Newcastle area also relates to the level of pay. The drivers’ Enterprise Bargaining Agreement expired in November 2024, and bargaining for a new agreement commenced in December 2024. 

There have been over 20 bargaining meetings in the intervening period, and workers have participated in industrial action including strike action. In December, workers rejected an offer of an increase of 15.5% (or wage price index, whichever is higher) over 4 years. An “enhanced offer” which KDH alleged was the best they could make was rejected in January. It included an increase of 12% (or wage price index, whichever is higher) over 3 years; and an additional increase of 0.25% in the third year. 

An intractable bargaining declaration was issued in April.

The intractable bargaining declaration means a post declaration negotiating period will run from 28 April through to 12 May in a process assisted by the FWC.

Soon after Keolis Downer was given the contract for Region 8 in May 2021 - the Manly to Barrenjoey peninsula and the lower North Shore, bus driver and union representatives pointed out the routes were losing their best staff due to the low rate of pay.

A NSW Parliamentary Inquiry into the Privatisation of bus services in NSW has found this has resulted in more limited service delivery, higher costs for passengers and worse pay and conditions for bus drivers.

Further, the Report stated that recent changes to bus services in Sydney and Newcastle, including location of stops, frequency of services and changes to routes, have at times occurred without comprehensive community consultation.

One submission read; ''Conducting surveys during the height of the Covid-19 pandemic and using these figures to rationalise decisions is false.''

The Report, released September 20th, 2022, recommended the NSW Government give consideration to taking action to revert bus services to being publicly-owned-and-operated for bus services in the four recently privatised Contract Regions in metropolitan Sydney (Contract Regions 6, 7, 8 and 9) that were previously operated by the State Transit Authority.

In January 2023 President of the Tram and Bus Division of the Rail, Tram and Bus Union (RTBU) NSW, Peter Grech, said the cuts – which in many instances mean the time between services has been blown out – had been in the works for over five weeks, and this was the first time Transport for NSW had clearly admitted the cuts have been made.

“Since they (Transport for NSW) privatised the buses they’re struggling to attract and retain enough drivers to do the job. As a result hundreds of trips are being cancelled on an ad hoc basis every day. The decision they’ve made is to just cut thousands of trips permanently reflects the fact they simply can’t keep up with the quality service commuters deserve.

Sources stated the privatised services struggle to attract drivers as they are expected to work for reduced wages and benefits, wages that make it financially unfeasible to do such a job.

However, an investigation into the contracts signed by the previous government by the incoming Minns Government found when the previous government sold public bus services off to private operators they created contracts that gave these companies financial incentives to cancel services.

The contracts imposed financial penalties on the companies for failing to meet ‘on time running’ targets. 

There are penalties for cancellations also, but only up to a certain number.

Once that threshold is reached the companies make more money if they cancel a bus that might run late.

Since privatisation, these provisions left millions of passengers stranded at bus stops waiting for buses that will never come.

The Minns Government formalised a Bus Industry Taskforce with its First Report into the industry released on Monday August 14, 2023.

The taskforce, chaired by John Lee, was established on 1 May 2023 to make recommendations to improve the quality and reliability of services, and to ensure that bus networks across NSW meet community expectations. These included hosting community forums to hear about the issues, the first of which was held in our area on June 24.

The first report revealed service quality in relation to on-time running and reliability has deteriorated, most notably in recently privatised regions where driver shortages and widespread cancellations are being acutely felt.

''Unfortunately, service quality, particularly in relation to on time running and service reliability, has deteriorated in recent times. In Greater Sydney operators in the regions privatised by the former Government have presided over the worst driver shortages and are failing to meet contract KPIs for service cancellations and on time running.'' the report states

Passengers have told the Taskforce of their frustrations with buses being cancelled, others just not showing up, and many running late and missing connections. Driver shortages are a key factor –if drivers are not available, vehicles cannot be put on the road. Unions and drivers have told the Taskforce the variability of conditions across the workforce, as well as the impact of privatising the last of the STA regions, has undermined the reputation and attractiveness of bus driving as an occupation.

The first report notes driver shortages should have been predicted and better managed and that the lack of basic driver facilities at layover areas is unacceptable.

It also highlights a focus on other transport infrastructure and capital investment has come at the expense of basic bus service requirements, such as digital infrastructure including real-time bus tracking, leading to over 10% of buses not being visible to passengers – widely known as ‘ghost buses’.

The 76-page reports also notes a focus on savings during the latest re-tendering has led to a loss of operators with local knowledge.

On  April 20 2026 the NSW State Government announced New Zealand bus drivers are assisting one of the biggest headaches for Sydney commuters: the prolonged driver shortage on the Manly to Barrenjoey peninsula.

Three in ten bus service cancellations in Sydney occur on local routes because the area struggles to attract and retain enough drivers. Union members and former bus drivers stated in the past this is due to the wage rates offered since the route was privatised.

MP for Pittwater, Jacqui Scruby, also pointed to the privatisation of services in April, stating:

''While the NSW Government stepping in to support recruitment is welcome, the responsibility ultimately sits with Keolis as the operator of our local network. This is an example of the NSW Government stepping in to assist and financially support a private operator over and above their contract requirements. 

Like the Northern Beaches Hospital, this highlights the pitfalls of privatisation of core, essential services that was the decision of the former Liberal government who engaged in contracts in theory designed to save the taxpayer with the reality being the operator was unable to deliver, letting residents down and requiring the NSW Government to assist them. 

I’ve debated this issue in parliament making it clear that residents want the bus system to work. For that to be addressed properly more needs to be done to back our local bus drivers, make these jobs more attractive locally, through better pay, conditions, and more innovative recruitment and retention strategies. 

People want better bus services - less cancellations, buses running on time and restoration of services, particularly the 190X timetable. After significant investment into the fleet, with bendy buses returned, new electric buses and new 10 new B1s about to arrive, the limiting factor is bus driver shortages. 

Our community needs a bus network that is reliable, consistent. It must also be staffed by a workforce that is properly supported whether they are local or newly arrived and accountability for positive working conditions must remain clear. 

With contracts up for renewal in 2030, the NSW Government and Keolis are on notice that the situation must deliver the services expected and deserved by residents now and in the long term.'' Ms Scruby said

190x start point. Photo: A J Guesdon/PON