We do need to do something about the "holiday conundrum", for lack of a better name. That it, there are times during the year, most notably around Christmas, where suddenly everyone in the city gets time off and wants to travel to visit their family out in the middle of nowhere - and that also includes the operators of public and commercial transportation networks. You have a sudden influx of commuters at the same time as transport service capacity drops to a fraction of the normal.

Not sure how to handle this short of abolishing holidays entirely

(Not necessarily a bad idea - too many things in society already run in synch where they shouldn't; see e.g. most people working 9-5, including services all those people need, so there's e.g. no good time to go to a dentist or visit a bank without taking a day off at work.)