LIRR riders to receive refunds as MTA faces questions over labor deal costs
The MTA Board voted to refund monthly LIRR ticket holders for four days in May when service was either shut down or significantly impacted by the strike. Officials also approved waiving the agency’s standard $10 refund processing fee.
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Monthly Long Island Rail Road ticket holders will soon receive refunds for the days service was disrupted during the recent strike, but concerns are growing over what the labor agreement could mean for the Metropolitan Transportation Authority’s financial future.
The MTA Board voted to refund monthly LIRR ticket holders for four days in May when service was either shut down or significantly impacted by the strike. Officials also approved waiving the agency’s standard $10 refund processing fee.
Most riders are expected to receive their refunds automatically by June 30. The agency says the refunds will cost approximately $2.4 million.
“I kind of feel like it’s my money,” said Kailey Sewell, of Rockville Centre. “I spent it on a service and didn’t receive the service, so it’s only right I receive a refund.”
The refunds come as the MTA faces mounting scrutiny over the long-term financial impact of its agreement with striking LIRR unions. During negotiations, the agency and union leaders discussed raises of about 4.5% for the final year of the contract. The MTA has not publicly released the full terms of the deal.
MTA officials insist the agreement will not require additional fare hikes or new taxes. However, some board members worry the settlement could set a costly precedent for future labor negotiations with other transit unions.
“I think in this moment it would not be useful if we didn’t talk about the fiscal alarm bells that we’re hearing,” said MTA Board Member Neal Zuckerman.
Zuckerman noted that inflation has increased pressure on both workers and the agency’s budget.
“Having a demand for higher than inflation wages is not a surprise,” he said. “Inflation has been high for years and it’s undermining people’s purchasing power, but it’s also undermining our budget.”
Attention is now turning to the Transport Workers Union, which represents approximately 40,000 New York City bus and subway employees. Some observers believe those workers could pursue similar wage increases in upcoming negotiations.
MTA Chairman and CEO Janno Lieber suggested future agreements may not necessarily mirror the LIRR deal.
“It’s a pattern,” Lieber said. “It’s the first agreement with a fourth year that wasn’t covered in the collective bargaining agreement. It has weight because of that, but the other unions have a much longer term to bargain, so there’s going to be a different kind of agreement with other unions.”
In addition to monthly ticket holders, the MTA says weekly and single-ride ticket holders affected by the strike will also be eligible for refunds for missed travel days.
