I have been reading with interest about the labor dispute between the Metropolitan Transportation Authority (MTA) and Transport Worker's Union (TWU). The MTA runs bus and subway service in New York City and the TWU's contract expired Friday morning.
As a mediator, I tend to take a different view of disputes than most people would. Most people tend to form an opinion about which side is "right" based upon the "facts" they receive from the news. Most of the news is just spin from the both sides and the depth of the average news report -- TV or otherwise -- is not very enlightening. The news is so "dumbed down" today, it's somewhat insulting.
Mediators are trained not to form opinions. In fact, we're trained to be open minded to even the most seemingly of extreme positions. Let me see if I can enlighten you from a mediator's perspective.
The MTA has a powerful weapon on it's side: NY's Taylor Law. This law prohibits public employees from striking. The penalties can be quite severe, including a fine that's twice what the worker would have made the day they strunk. On top of this, they could face additional sanctions from a court for violating a court order not to strike.
But here's something else that doesn't make the news. The MTA could probably care less if the workers went out. They are a corporation separate from the City of New York. A strike hurts the City in a number of ways. The MTA would ultimately get bailed out by the State of New York or via a fare hike for any losses caused by a strike. Plus a strike would give the union some bad press, further helping the MTA's position.
On the flip side, the TWU probably doesn't trust the MTA. When the MTA last hiked fares, it was ultimately discovered as a result of lawsuits that "cooked books" were used to justify the hike. This year, the MTA is running a $1 Billion surplus. They were so happy about this that they gave rebates to riders during the holiday season, ostenably to encourage use of public transportation.
But they are claiming that now that the next two years will show huge deficits, on the order of $2 Billion. If you knew that you had a huge windfall of money this year and needed even more next year and the year after, would you be giving part of it away (through free rides)? It does not make a lot of sense. This probably explains why the union is so hesitant to go to arbitration (where a neutral third party would make a decision on the hike).
The latest and apparently "final" offer by the MTA is 3% raises per year over the next 3 years. The MTA also wants to increase the retirement age for newly hired workers and increase some co-payments for pharmaceuticals and doctors visits. Public employees should not be punished just because they don't work in the private sector. On the other hand, public employees generally get better benefits and pensions than equivalent workers in the private sector. So that's the trade-off.
As in every negotiation, both sides must realize that they will not win on all issues. Both sides must figure out what is truly important to them and drive towards getting those in a new contract agreement. What we see now is a lot of posturing to appease the various constituencies.
I am having trouble understanding why a mediator has not been brought into the proceedings. A mediator would help cut through all of the bluster and drive the parties towards what is truly important to them. The NLRB or FMCS I'm sure would love to help. Heck, if they really want a good mediator, they can give me a call or look me up at
http://www.sannsmediation.com.
I welcome all comments on any of my articles.