By Larry Higgs | NJ Advance Media for NJ.com
on February 20, 2016 at 8:40 AM, updated February 20, 2016 at 11:17 AM
NJ Transit’s interim boss sharply criticized a federal labor panels recommendations to settle a contract with union rail workers, calling the proposal for “platinum level” health benefits “unreasonable and excessive.”
In a reply to nine members of Congress, who wrote him on Feb. 17, urging a settlement to avoid a possible strike, Dennis Martin, interim executive director reiterated that the agency and riders can’t afford the cost of a settlement endorsed by a second Presidential Emergency Board.
A federal cooling off period ends on March 13 and union rail workers can strike or management can lock them out. The unions have been working without a new contract since 2011. Talks were held as recently as Wednesday and a tentative negotiation session is scheduled for next week.
In it’s letter, members of the delegation said “NJ Transit should seriously consider the Presidential Emergency Board (PEB) 249 proposal, authored by a neutral panel of independent arbitrators, as a path forward.” They also suggested the agency could use federal funds to pay for a settlement.
Martin, in his reply letter, dated Friday, told the lawmakers NJ Transit can’t tap into money from the recently authorized federal transportation funding legislation to pay for a settlement, as the lawmakers suggested.
That money is available for capital construction projects, not for regular operating expenses “such as the exorbitant wages and benefits recommended by the PEB,” Martin wrote. “Addressing the underlying unreasonableness of the excessive level and cost of the platinum level health benefits recommended by the PEB is what is required.”
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