SBF 70 years logo
MenuMENU
SearchSEARCH

Economic downturn provides opportunities

It’s time to tighten your belt - while at the same time re-evaluating your options in regard to the school transportation supplier community. ...

by Frank Di Giacomo, Publisher
December 1, 2001
3 min to read


It’s time to tighten your belt - while at the same time re-evaluating your options in regard to the school transportation supplier community. The U.S. economic downturn is deepening, and recovery could be slower than expected. Another terrorist attack - forever a possibility - would only delay progress toward a healthy business climate. In the meantime, there's much to be done. School transportation will likely be forced to take its share of spending cuts. Local and state tax revenue is going to fall well short of estimates, requiring school boards to find ways to reduce costs while at the same time maintaining educational standards. School transportation, like all of the so-called ancillary services, will be a tempting area for school boards to pare the budget. What can be done?
Like I said, belts will need to be tightened. However, there are ways of reducing spending without compromising your ability to procure the equipment that you need. You might want to re-evaluate your relationships with your vendors. Now is a great time to pursue new supplier relationships, ones that could cushion your budget for years to come. When cost-cutting is necessary, managers need to look at the entire budget. You know better than I do where reasonable cuts can be made. We all need to beware of false economies and short-term thinking. When making cuts, look beyond the horizon to see how these reductions will impact the operation six months or even two years from now. Ask your staff for help. They can provide money-saving ideas that might never occur to a manager. Offer a reward for the best suggestion, even if it saves only a few dollars a day or week. Make sure that every submission is acknowledged, even those that come from deep right field. The primary objective is to find money-saving strategies, but the secondary goal should be to impress upon the staff that controlling costs is critical. Volunteerism is in vogue again. You might want to ask your staff if they might each be willing to volunteer a couple of hours each week to help with the nuts and bolts of the operation. For example, routine tasks such as bus washing could be turned into a volunteer event, with snacks and beverages offered to those who are willing to donate their time. Consider the tough sell
Your staff probably deserves more than they’re being paid. You probably do, too. But these are not normal times, and sacrifices are being made throughout the nation as we fight a war in Afghanistan and battle terrorism on the home front. Although cutting wages would be unacceptable, you might want to look at freezing wages or adopting a policy of granting only cost-of-living salary increases. That’s a tough sell, I know. For those of you who work with labor unions, it’s an even tougher sell. But these are not normal times. Check the business section of your daily newspaper. Every day, companies are slashing jobs, closing plants and hunkering down for hard times. If we can’t ask employees for concessions now, when can we ask for them? There’s a notion that employees are entitled to pay increases merely for staying on the job year after year. That’s simply not true. We need to make sure that everyone understands that pay increases are earned with hard work, improved performance and greater value to the organization. With unemployment rates on the rise and driver applicants more plentiful, this may be a good time to reinforce to the staff that extraordinary times require extraordinary effort. Let them know that employees who rise to the challenge will not be forgotten when the economy improves. Remember, too, that safety is the top priority in school transportation. Maintaining a high level of safety and security may require small sacrifices on the part of all of us. Is that too much to ask?

Subscribe to Our Newsletter

More Management

A red, white, and blue graphic with pictures of Tracy Voigt and text reading "Honoring U.S. Veterans: Tracy Voigt's Story."
Managementby Elora HaynesMay 25, 2026

How Does Military Logistics Experience Help Keep Students Moving Safely?

See how Army veteran Tracy Voigt went from coordinating construction and logistics in Afghanistan to leading school transportation operations in Minnesota in this National Military Appreciation Month profile.

Read More →
School bus driver stands in the doorway of a yellow school bus during the New York School Bus Contractors Association roadeo event, with dark storm clouds in the background and the NYSBCA logo in the corner.
Managementby News/Media ReleaseMay 24, 2026

New York School Bus Contractors Association Announces 50th Roadeo Winners

Winners, photos, and highlights from the 2026 NYSBCA School Bus Driver Safety Competition, where drivers across the Empire State showcased safety skills and precision behind the wheel.

Read More →
An orange and red graphic with text reading "Surface Transportation Bill Moves Forward."
Managementby Elora HaynesMay 22, 2026

The BUILD America 250 Act Has Big Implications for School Buses, Too

Buried within a sweeping federal transportation bill are provisions that could affect school bus driver requirements, illegal passing enforcement, and even the future role of autonomous technology in pupil transportation.

Read More →
Ad Loading...
Aaron Sepkowski poses next to a Pocono Transportation school bus. Text read "Aaron Sepkowski, Pocono Transportion," alongside a SBF Contractor of the Year logo.
ManagementCover Storyby Elora HaynesMay 21, 2026

The Mindset That Keeps a Decades-Old Company Moving Forward: Aaron Sepkowski, 2026 Contractor of the Year

With nearly two decades at the helm of Pocono Transportation, Aaron Sepkowski has transformed a family-run operation into a modern, safety-focused contractor, while championing innovation, workforce development, and advocacy across Pennsylvania’s school transportation industry.

Read More →
Image of the front of a school bus with text reading "2026 Industry Awards in School Transportation."
Managementby StaffMay 20, 2026

What Student Transportation Companies Are Landing on Time’s Most Influential List, and More

From AI-powered safety platforms to electric fleet innovation, companies across the student transportation industry are earning national recognition for reshaping how students get to school safely and sustainably.

Read More →
A red, white, and blue graphic with pictures of Martin Staples and text reading "Honoring U.S. Veterans: Martin Staples' Story."
Managementby Elora HaynesMay 18, 2026

Why Student Transportation Felt Familiar to This Former Navy Aviator

See how Martin Staples applies decades of mission-focused leadership and operational experience to helping school districts keep students safe in this National Military Appreciation Month profile.

Read More →
Ad Loading...
The Route thumbnail with school bus fleet logo
ManagementMay 15, 2026

‘Magical Hospitality’ and the Secret Behind Better School Bus Tech

Keith Corso and the BusRight team make it a goal to exceed expectations, always. Hear the secret sauce behind this 2026 Trailblazer in his own words in this podcast.

Read More →
Promotional graphic for “The Route” by School Bus Fleet featuring BusRight CEO Keith Corso smiling against a bright yellow background. Large text reads “Tech That Changes Routes (and Lives).” The graphic includes “Sponsored by IC Bus” branding and identifies Corso as a guest from BusRight.
Managementby Amanda HuggettMay 14, 2026

The Secret Behind Better School Bus Tech? ‘Magical Hospitality’

How does Keith Corso and BusRight truly empower their customers? It all comes down to exceeding expectations. Hear more about the secret sauce behind this 2026 SBF award winner in his own words. The Route is sponsored by IC Bus.

Read More →
Laptop displaying HopSkipDrive RouteWise AI transportation analytics dashboard with charts and routing performance data for school district operations.
Managementby News/Media ReleaseMay 13, 2026

What Happens When AI Rebuilds a School Bus Route

A look at how HopSkipDrive's Routewise AI tool has helped stretch district transportation budgets and get students more classroom time.

Read More →
Ad Loading...
Attendees gather across the ACT Expo opening reception and exhibit hall featuring major commercial vehicle and electrification brands.
Managementby Amanda HuggettMay 12, 2026

EVs, AI & the Future of School Transportation: ACT Expo 2026 in Photos

ACT Expo 2026 showcased the latest innovations in electric school buses, fleet charging, AI, V2G technology, diagnostics, and clean transportation. Check out the highlights from Blue Bird, IC Bus, Thomas Built Buses, RIDE, Cummins, Geotab, and more.

Read More →