AUSTIN, Texas — Hundreds of people in Austin are set to lose their jobs next year after Texas transitioned its toll services.
In September, the Texas Department of Transportation officially announced it would transition TxTag users to a new operator.
Following TxTag's transition to the Harris County Toll Road Authority, the Texas Workforce Commission reports that 650 employees from TTEC Government Solutions, which handled the billing and customer service operations for TxTag, will be laid off by February 2025.
TxDOT officials admitted they struggled with operating the toll system before approving the transition. However, they said the changes would also cut the costs of processing drivers entering toll gantries.
Officials hope the Harris County Toll Road Authority, which was established in the Houston area more than 40 years ago, can help offset those struggles.
A history of TxTag issues
In 2021, the toll collection system fired toll operations vendor IBM after a botched system upgrade, which led to many customers being overcharged. It also had to refund more than $11.7 million.
Shortly after the incident, the Central Texas Regional Mobility Authority paused billing for TxTag for several months, stating that TxTag's data was unreliable.
While hiccups are expected with the recent change, experts hope the toll service will improve.
The changes will allow customers to get in-person help at H-E-B and Walmart, in addition to the HCTRA's online services. TxDOT will still set toll rates, and maintain toll roads and equipment.
Tags will still work in Texas, Oklahoma, Kansas and Colorado.
KVUE reached out to TTEC Government Solutions about the layoffs but has not heard back.
