NEWARK, N.J. — NJ Transit and the Brotherhood of Locomotive Engineers and Trainmen have reached tentative agreement on a new contract for the transit agency’s engineers, which could end a long-running dispute and avert a potential strike later this month.
NorthJersey.com reports the deal was reached on Thursday, March 6, but it was announced today (March 10, 2025) in a joint statement from NJ Transit CEO Kris Kolluri and BLET General Chairman Thomas Haas released at 6 a.m. ET. Terms of the agreement were not announced.
“We are pleased to announce a fair and fiscally responsible contract settlement that ensures value for our taxpayers and customers, and provides a reasonable wage increase for BLET members,” Kolluri and Haas said in the statement. “Apart from the contract settlement, we have resolved a long-standing grievance and settled another outstanding dispute between the parties in a manner that benefits both parties, paving the way for the introduction of new technology that enhances efficiencies at NJ Transit and supports our workforce. We believe this agreement not only reflects NJ Transit’s commitment to fairness, efficiency, innovation, and long-term financial sustainability — but it ensures uninterrupted rail service for the 100,000 people who depend on it.”
The deal must still be ratified by union members and approved by the NJ Transit board; New Jersey Gov. Phil Murphy would then have 10 days to veto the agreement. If any of those parties turn down the agreement, it would start the clock on a 30-day period before a potential strike.
Engineers have been working without a contract since Jan. 1, 2020. Union members unanimously voted to strike in 2023 [see “NJ Transit engineers vote …,” Trains News Wire, Sept. 1, 2023]. But the lengthy process negotiation process required under the Railway Labor Act meant the two sides first had to go through mediation, then through two rounds of having their dispute heard by a Presidential Emergency Board. The second of those boards issued its non-binding recommendations in January, but it was rejected by the union [see “Second Presidential Emergency Board supports NJ Transit offer …,” News Wire, Jan. 21, 2025]. That set the stage for a potential strike or lockout as of March 22.
The two sides had been far apart in negotiations, with NJ Transit offering the same terms that had been accepted by its other 14 rail unions, a 4½-year contract with raises totaling 12% uncompounded. The Presidential Emergency Boards had recommended that deal, plus three years of 3% raises and two $1,500 lump-sum payments [see “Presidential Emergency Board recommends …,” News Wire, Sept. 5, 2024]. That would have amounted to a 21% increase over a 7½-year contract. The union, which argued NJ Transit’s engineers were the lowest paid among the nation’s commuter rail operators, had sought an additional 15.36% “wage equity adjustment,” for a total increase of 36.26%, uncompounded over the 7½ years.
During the course of the dispute, NJ Transit also took the BLET to court over an alleged “sick-out” in June 2022, with a federal court finding the union had violoated the Railway Labor Act. The BLET eventually agreed to a $50,000 settlement, while not admitting wrongdoing [see “NJ Transit, BLET reach settlement …,” News Wire, June 16, 2023].
NorthJersey.com notes that, after a long period with little movement, the two sides began meeting regularly once Kolluri replaced Kevin Corbett as NJ Transit CEO in January [see “Kolluri confirmed …,” News Wire, Dec. 11, 2024].
