MTA appeals 11% arbitration award

September 9, 2009

Recently the New York Metropolitan Transportation Authority (MTA) appealed the award of an independent arbitrator in court.   MTA leaders contend that enforcement of this award will plunge the nation’s largest public transportation provider into even greater financial difficulties.  The MTA only avoided major fare increases and service cuts this year because payroll taxes throughout its service district were increased.

MTA officials insist that if this award is enforced by the courts new and deeper rounds of fare increases and service cuts will be required over the next 4 years.

The MBTA faced a similar situation last year when an arbitrator forced it to grant retroactive and future pay increases to its unionized workforce.  It chose not to appeal last year’s binding award even though economic conditions and the economic impact were similar.

link here.

Entry Filed under: Comparative Financial. Tags: , .

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