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Transit agency rejects report
The board's unanimous rejection of the non-binding report raises the question of whether union workers will vote to strike or continue negotiating.
"While the report recommends employee contributions to health care and changes in pension contributions, along with other cost-saving actions, it does not generate enough savings to warrant its acceptance," Chairman Jack Brooks said yesterday during a special meeting.
The authority would seek to continue negotiations with the Amalgamated Transit Union Local 85, which represents 2,400 employees, Brooks said. The employees have been working without a contract since July 1. Union officials did not return telephone calls seeking comment.
The top hourly wage for Port Authority bus drivers is $22.79 an hour, or about $47,000 a year without overtime.
The authority wants the union to agree to concessions totalling at least $19 million to balance its 2005-06 budget, adopted in June.
Union leaders have not publicly said they plan to strike, and the authority's acting CEO, Dennis Veraldi, said yesterday he doesn't anticipate a strike. Veraldi declined to discuss specifics of the report, which was not made public. The report was written by attorney Robert Gifford, who was appointed by the Pennsylvania Labor Relations Board.
"It's too expensive because it doesn't give us the savings we need, especially in 2006 where we have a $19 million deficit," Veraldi said.
Port Authority officials said the report recommends that employees contribute more to health care and make changes in pension contributions to save the agency money.
In a statement, the authority said the report states: "There is no question that the parties would benefit from a dedicated funding stream. ... Employees with this bargaining unit cannot be sheltered from the economic realities of Western Pennsylvania."
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