In an effort to reach an agreement with the United Transportation Union Local 645 and avoid a strike for as long as possible, the Long Island Rail Road has issued a request for a second Presidential Emergency Board. The new PEB request and subsequent arbitration proceedings will delay any potential work action the UTU make consider until July 19 at the earliest.
The MTA has tacitly recognized of a favorable outcome in this fight. Currently, 59 of the agency’s 60 unions are working without a contract, and the UTU could set the stage for subsequent negotiations. If the MTA cannot achieve a net-zero labor increase, either through work rule reform, layoffs or a combination of both, the agency’s precarious financial picture will be thrown into doubt. That seems to be the X Factor New York politicians are so willing to ignore, but it was the MTA’s focus in their statement announcing the request for a second PEB.
Said the MTA:
The MTA wants to resolve these contract issues at the bargaining table, where they belong. But the recommendations of the first Presidential Emergency Board ignored the enormous burden that a 17% wage increase over six years – without a single change in work rules or other cost offset – would place on the MTA’s budget. If those terms were applied across the entire MTA workforce, they would be equivalent to raising fares 12% – or cutting $6 billion from the capital budget for keeping our system safe and reliable.
In response to this procedural move, the TWU — a very interested bystander — issued a stridently worded statement speaking out against the measure. One union official noted that “the MTA’s repeated insistence that it has no ability to pay the raises recommended by the panel is ‘a phony smokescreen rejected by four consecutive panels of arbitrators’ who have handled recent MTA labor disputes.” The TWU is the MTA’s largest union, and their top brass have vowed to support the UTU were it to engage in a strike.
Meanwhile, as this labor fight takes shape, Dana Rubinstein explored how Gov. Andrew Cuomo is using the MTA as a piggybank. Between the $40 million diversion for debt purposes and the $7 million Verrazano Bridge toll giveaway, Cuomo is not standing behind the MTA as a variety of interests jockey for money. Brooklyn now wants its own toll relief, and the union issues will loom throughout the spring and summer.
When the dust settles, the riders will wind up paying more and getting nothing in return. After all, it was Tom Roth, the UTU’s expert witness, who said at the last PEB that “he passenger has had a good run here at the MTA, and it is about time the fares went up.”