THE FIRM THAT has operated the Luas ever since the tram system’s first journey over two decades ago is losing out on the €1.75bn contract to stay in the role for another five years.

Transdev staff were told this morning that the firm is not the preferred bidder for the next Luas operations and maintenance contract which was put to tender by Transport Infrastructure Ireland (TII) and the National Transport Authority (NTA).

A letter sent to staff by Transdev this morning informed them of the news, noting that it is “very disappointing news” for the company.

A fourteen day “cooling off” period will now ensue, during which Transdev will have the opportunity to make further observations on the decision, and potentially lodge an appeal.

TII has said it won’t be making a comment at this time.

Transdev today reassured staff that nothing will change in terms of day-to-day operations, and that they will update staff again to outline the next steps after the cooling off period has commenced.

Operations aren’t actually set to change over hands until September, and the new contractors will be expected to engage with SIPTU in advance of taking over, the union that represents Luas Workers.

John Murphy, Transport Sector Organiser, told The Journal that he understands that British and French firms Amey and Keolis have been selected to takeover after making a joint bid.

Murphy stressed that these firms will be obligated to take on existing staff under existing protections.

He said that there will be “some unrest” among the workforce, and that a new operator could make changes that involve costcutting measures, but he added that wages are protected and that the Luas workforce is highly organised, and “influential”.

Murphy said that Siptu expects to have engagement with both the outgoing and incoming operators.

The Journal has asked Transdev for comment.