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Tuesday, Dec. 17, 2002

"We are grateful to all New Yorkers who remained patient during this very difficult time," said New York City Mayor Michael Bloomberg.

Local 100 of the Transport Workers Union and the MTA tentatively agreed to a three-year contract that gives each of the 34,000 transit workers a $1,000 one-time, lump-sum payment for the first year in lieu of a wage increase.

The union agreed to 3 percent raises and increased productivity for the second and third years of the contract.

The union initially demanded an 8 percent raise but later dropped its demand to 6 percent raises for each year of the contract. The MTA said it couldn't afford a raise the first year because it faces a $1 billion deficit and a possible fare hike from $1.50 to $2.00.

The MTA offered 2 percent raises for the other two years of the contract -- but tied to productivity increases.

The average annual salary for a transit worker is $44,000, with a range of $33,000 to $47,000 a year.

Pension benefits and discipline and safety rules were also at issue.

Both the city and New York State face budget deficits in the billions, at least partly as a result of the economic impact of the Sept. 11 terrorist attacks.

High Cost of Strike

Bloomberg had estimated a strike could cost the city up to $350 million a day -- in lost business, retail and sales taxes as well as increased police overtime. The two weeks before Christmas are considered top times for Broadway show attendance and other arts and cultural events, plus shopping and the restaurant business.

The city and its Office of Emergency Management had developed extensive contingency plans.

If no MTA buses or subways were operating, city officials had expected enough extra car passengers to cause massive gridlock. The city had planned to ban cars from entering Manhattan unless they carried at least four people on weekdays (24 hours) or at least two on the weekend.

Trucks would have been banned from Manhattan from 6 a.m. to 10 a.m. and it was expected that perishables destined for grocery stores and restaurant supplies would be disrupted as a result.

Starting times for schools would have been delayed by two hours, morning pre-kindergarten programs canceled and all field trips canceled.

Additional ferry service would have been offered by both public and private services in and out of Manhattan.

After the announcement of the tentative deal, Bloomberg said that the city had deactivated the Emergency Operations Center.

"This spirit of cooperation embodied what makes our city, and our residents, the greatest in the world," Bloomberg said.

"We would also like to thank all of the city, state and inter-state agencies, as well as our partners in the private sector, who contributed to making our strike contingency plan as comprehensive as possible."

Copyright 2002 by United Press International.

All rights reserved.

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