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New Jersey Transit rail strikes begins after 40 years as wage negotiations stall

New Jersey commuter rail engineers left their jobs early on Friday morning after marathon contract negotiations stalled before a midnight deadline set by their union for meeting wage demands. This ignited the first strike in the U.S. since more than 40 year.

The strike began at 12:01 am EDT (0401 GMT), on Friday. It is expected to cause hundreds of thousands daily of passengers in New Jersey, and New York, to be unable of travel.

NJ Transit announced that its rail system would begin a "safe shutdown" at 12 a.m. No new departures will be made after this time, but trains already on their way will finish their journeys.

The Brotherhood of Locomotive Engineers and Trainmen (BLET), which represents 450 NJ Transit commuter train engineers, reported that a nonstop 15-hour bargaining session ended on Thursday night when negotiators from the management walked out at 10 p.m.

At a press conference, New Jersey Governor Phil Murphy held with NJ Transit Chief Executive Officer Kris Kolluri. The management told reporters that although talks were paused, they would be willing to resume them at any time.

Murphy, a Democrat told reporters: "We need to reach a deal that's fair for employees, and also affordable." "Let's go back to the table to seal a deal."

Murphy and Kolluri stated that the U.S. National Mediation Board reached out to the two sides to suggest reopening the talks on Sunday or earlier if they wished.

The union statement did not mention when the talks could be resumed. The union said that pickets would be set up at 4 am at various locations throughout the rail system. These included NJ Transit's HQ in Newark and Penn Station in New York City.

The Governor and NJ Transit CEO have also laid out contingency plans to deal with the work stoppage. This is the first transit strike in New Jersey since 1983, when a three-week walkingout took place.

Workers Urged to Stay Home

In anticipation of the strike, the agency had already cancelled trains and buses from MetLife Stadium to Shakira concerts at MetLife Stadium on Thursday and Friday evenings.

NJ Transit issued an advisory encouraging commuters to start working from home on Friday, if possible.

In the event of a strike, the agency would increase bus services on existing lines. It would also charter private buses that would operate from satellite lots. However, it warned that buses could only handle 20% of rail passengers.

The union members rejected a possible deal that negotiators agreed to in March.

The union claims that it simply wants to raise salaries for engineers to be on par with those of commuter trains in the area.

NJ Transit says it cannot afford to pay the wage increases that engineers want because 14 other unions who negotiate separate labor agreements with the agency will demand the same higher wage rates for members.

NJ Transit claims that engineers make an average of $135,000 and that the management offered a contract that would result in a salary average of $172,000. The union, however, has challenged these figures and said that the average salary for engineers is $113,000.

Both parties have accused each other of unfair bargaining.

Kolluri stated last week that "the union is playing a chicken game with the lives 350,000 riders."

Tom Haas said, "We've asked for nothing more than equal wages for equal work. But we have been continually rejected by New Jersey Transit", the general chairman of the union, Tom Haas. Reporting by Joseph Ax from Princeton, New Jersey. Steve Gorman, Los Angeles, contributed additional reporting and writing; Lincoln Feast edited the article.

(source: Reuters)