In less than four years, the MTA could face a funding gap of nearly $900 million as expenses exceed fare revenue, according to a new analysis from the Citizens Budget Commission, which recommends cutting staff to close the gap.
The budget watchdog is recommending massive job cuts in positions it says technology has made obsolete. The budget committee suggested the MTA allow its trains to run with just one employee, instead of two.
Train lines with new computerized signals, such as the L and 7, are already fully automated, as are on-board announcements. While the driver opens and closes the train doors, the operator has few other tasks, including pressing a button every 20 seconds to signal that he is alert. The budget committee cited the operator’s limited responsibilities as a sign the work could be eliminated without impacting service.
Eliminating operator jobs on the L and 7 lines could save $36.5 million a year, according to the report. If the agency phased out two people who operate trains systemwide, it could save $500 million a year.
The agency is in the process of installing new signals on other lines like the A, C, E, F, G, M and R lines. For now, those lines still require two people to operate the trains.
The Citizens Budget Commission’s suggestion comes at a sensitive time as Transportation Workers Union Local 100 negotiates a contract with the MTA for its 40,000 subway and bus workers. The MTA is expected to release its financial plan for next year in the coming weeks, which will include a 4% fare and toll increase. The board will vote on the plan in December.
“The same recommendations have been made for decades, so there’s nothing new about this,” said John Samuelsen, president of the Transport Workers Union of America. “This is essentially a recommendation to balance the MTA’s so-called deficits on the backs of workers.”
Last year, the state Legislature attempted to write into law a requirement for two MTA workers on each train, but Gov. Kathy Hochul vetoed the bill, leaving open the possibility that single-person train operations could occur in the future.
“Legally mandated staffing levels prevent the MTA from modernizing – as technology and best practices continue to improve – and realizing efficiencies and financial benefits,” the Citizens Budget Commission report states.
The Citizens Budget Commission acknowledges that the MTA has become more efficient in recent years, saving $576 million this year through what the agency calls “operational efficiencies.” But the report says that without reducing labor and health costs, the MTA will face a $300 million budget deficit next year, which will reach $900 million by 2030. The Budget Commission estimates that the recommended reforms could save $2.5 billion annually.
Other recommendations include streamlining fare collection on commuter rail by checking tickets before boarding, reducing the need for someone to cross the train. The Citizens Budget Commission says cutting more than 1,000 jobs in the Metro North and on the Long Island Rail Road could save $380 million a year.
The report also recommends MTA retirees pay more in health care premiums, which could bring in an additional $315 million annually.
Samuelsen countered that many MTA laborers, ironworkers, rail workers and crane operators are paid less than their private-sector peers but accept that because of generous retirement benefits.
“CBC is right to point out that we have made extraordinary progress in securing hundreds of millions of dollars in new recurring operational efficiencies,” MTA spokesperson Mitch Schwartz wrote in a statement. He did not address the proposal to cut jobs.
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