CTA adopts hiring, retention incentives for rail, bus workers

The Chicago Transit Authority this week approved financial incentives to attract and retain rail and bus workers.

The incentives are effective immediately for newly hired union employees in certain positions, CTA officials said in a press release. They include:

• a $1,000 hiring bonus for all new bus operators, bus mechanics and rail-car repairers hired in 2022 and 2023 that stay for one year;
• a retention incentive paid after every six-month period from July 2022 through December 2023 on the job — equal to 3% of a worker’s hourly rate for actual hours worked — for eligible employees represented by ATU Local unions. The incentive is capped at 1,250 hours per six-month period; and
• an increased starting rate for rail and bus operators, mechanics and car repairers. Those workers will receive 100% of the hourly rate ($39-40) between 2023 and 2024. Typically, workers receive 80% of the rate and move up to 100% after two years.

As part of contractual wage increases, CTA will also increase the starting rate for rail and bus operators to just under $30 beginning next month, up from $24. Through 2024, the time needed to reach 100% of the top pay rate will be shortened to 33 months from 45 months, or one year.

“Every industry has faced the challenges of attracting new employees and retaining current ones, and it’s an issue that has especially impacted the transit industry,” said CTA President Dorval Carter Jr. “In order for CTA to hire and retain the best employees, we have to do everything we can to make CTA an even more attractive employer.”

Meanwhile, the Chicago City Council this week approved plans to extend the Red Line farther south, reported radio station WBEZ Chicago.

The 5.6-mile extension would add four new stations near 103rd, 111th and 130th streets as well as Michigan Avenue. The rail line would be elevated from 95th Street and connect to Roseland Medical Center and the nearby commercial corridor.

The plan also calls for a new tax incremental financing district (TIF), which would help raise $950 million for the project that is estimated to cost a total $3.6 billion. Federal funds will cover about two-thirds of the project costs, WBEZ reported. The TIF would collect taxes over 35 years, a longer rate than the typical 23 years.