Labor Protection

Public transportation agencies must commit to existing labor protection agreements in their expenditure of Federal funding due to 49 U.S.C. 5333(b), also known as "Section 13(c)." The requirement mandates that expenditures that would result in new service or expansion of existing service must be made in a way that does not reduce existing labor protections, including:

•  Preservation of rights, privileges, and benefits (including continuation of pension rights and benefits) under existing collective bargaining agreements or otherwise;

•  Continuation of collective bargaining rights;

•  Protection of individual employees against a worsening of their positions related to employment;

•  Assurances of employment to employees of acquired mass transportation systems;

•  Assurances of priority of reemployment of employees whose employment is ended or who are laid off; and

•  Paid training or retraining programs.

The public transit agency must apply Federal labor protection provisions to any contracted activity with a private partner if it intends to seek reimbursement from Federal funds. Where transit employees have existing rights, the rights are to be protected. With respect to collective bargaining rights, if they pre-existed Federal assistance, then they must continue. However, if there was no pre-existing collective bargaining right or obligation, no such rights or obligations are imposed by this section. Thus, 5333(b) requirements may have a significant impact on projects extending existing transit facilities or using employees from existing operations, but should have less impact on new projects.