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5/19/2009


Rail News: Passenger Rail
MBTA unions defer 2010 wage increase



Four Massachusetts Bay Transportation Authority (MBTA) unions have agreed to defer their 4 percent wage increases for one year. The raises were set to take effect July 1, which marks the beginning of fiscal-year 2010. The authority has projected a $160 million FY2010 budget deficit.

Workers represented by the Office and Professional Employees International - Local 453, Welders - Local 651, and Professional and Technical Engineers - Local 105 already have voted to defer the pay increases, while the International Brotherhood of Electrical Workers - Local 717's executive board has endorsed the action.  The four unions represent more than 500 MBTA workers.

The move to defer pay raises, along with FICA and pension expenses, will save MBTA $1.6 million next year. The authority is proposing that its other labor unions — including the largest, the Boston Carmen's Union — also defer pay increases to help save a total of $17.3 million. Non-union employees have not received a raise in four years.

MBTA also has proposed layoffs, contract cancellations, job eliminations and furloughs among non-union employees.

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