NY City public bus system is in the red - worse than most other large cities despite of economy of scale and other beneficial factors. The $1.50 fare only covers about 43% of operating expences.
Labor costs are the most significant contributor to those expences. NYC Transit bus drivers are paid at the maximum hourly rate of $22.89, which is to $47,789 with 40-hour week. But the average driver actually earns $54,277 a year—14 percent more than top scale because the transit system’s relatively high wages are compounded by costly and inefficient work rules.
Bus operations tend to spread beyond a typical eight-hour work day—which makes bus drivers’ jobs particularly well suited to flexible and part-time work arrangements. But under New York City Transit’s contract with the Transport Workers’ Union, virtually all jobs in the system are full-time jobs. With many work shifts stretching beyond an eight-hour day, many employees routinely receive special added pay. A driver with sufficient seniority to claim the most lucrative work assignments and pay differentials can earn nearly $87,000 a year.
Fringe benefits—including vacation and sick leave, as well as health insurance and pension contributions—amount to 50 percent of wages for employees of NYCTA’s bus system.
In private business in the same New York City, many professionals with masters degree (4-6 years of college) in occupations actually in demand - programmers, chemists, electrical engineers - are lucky to have that kind of salary - $60,000 - after a few years of employment. Of course most of them do not work 40-hour weeks either or have such lavish vacations or benefits.
I can't believe that we would not find a lot of capable people without a college degree or even with it who would be able and willing to drive a bus for a lot less than $55,000 a year plus another $28,000 in benefits. Under union pressure, the dollar vans ($1.00 or $1.25) are forbidden to pick up passengers on reglar routes. When they were temporarily allowed to do so during last bus strike in Queens, passengers were very happy with the service.
Of course our mayor and governor would rather hike taxes than put the bus routes for competitive bidding by private bus companies.
Yes, New York is expencive city to live in - now we know why. The MTA is considering raising the fare to $2 or raising it to $1.75 and cutting services.
Thank you, TWU.
miko
