A Good News Story

In January 2024, the Ontario Government announced plans to move nine privately operated ServiceOntario locations into Staples Canada stores. The move came as part of a three-year pilot program that will continue until January 31, 2027, and took everyone rather by surprise.

The pilot project started with concerns, partly due to the limited information available about the project, and dealers grappling with concerns about reduced service. The UCDA tried for weeks to get more information from ServiceOntario and some assurances for our Members, but little was available at the time.

Meanwhile, the Government took quite a lot of criticisms over the moves in the media, although much of that press seemed more concerned with scoring political points.

Now that the dust has settled, it’s clear that some of these concerns were overstated. In fact, the Ontario Government is looking to increase the service hours and the types of services offered at some of these locations, to meet ongoing demand.

The Financial Accountability Office of Ontario (“FAO”) has released a report which analizes the financial impacts of the pilot project. The report looks at how the costs associated with the pilot project compare with the alternatives. The report compares what the costs would have been to continue to operate these locations at their original addresses, with the original services, as opposed to relocating to Staples Canada stores with expanded services.

The FAO anticipates that the plan will cost $800,000 more compared to if these locations were kept at their original addresses with the original level of service. However, when the increased level of services are taken into account, it’s estimated that the move has actually generated savings of $1.2 million.

In short, if all continues to go well, the pilot project should give Ontarians more service and value for their money.

Members interested in reading the full financial analysis report can do so by following this link: https://tinyurl.com/yeu23z4p