Bus Operator Workforce Management: Practitioner’s Guide (2023) / Chapter Skim
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Chapter 4 - Bus Operator Compensation
Chapter 4 - Bus Operator Compensation
Pages 31-39
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From page 31... ...
, and light rail ($25.56 per hour across 21 transit agencies.) 101 However, there is an indication that some of the differences in wages by type of service may also depend on whether the service is provided in an urban or rural setting and the size of the system.102 A 2008 analysis of the Bureau of Labor Statistics and APTA data indicated that bus operator wages are most highly correlated with whether service is provided in an urban or rural area (proximity to or inclusion of an urbanized area in the service area is correlated with higher wages)
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From page 32... ...
35% 30% Percent of respondents 25% 20% 15% 10% 5% 0% Strongly Agree Agree Disagree Strongly Disagree I Don't Know Operator Recruitment Operator Retention Source: TCRP F-28 Industry Survey, Summer 2021. Figure 4. Perception that bus operator compensation packages affect recruitment and retention.
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From page 33... ...
Five respondents indicated that their compensation is strictly tied to what is in the collective bargaining agreement and that the transit agency is unable to offer additional incentives or bonuses beyond that. Many employers link bus operator wage increases to employment benchmarks, like completing training, the end of a probationary period, and regularly scheduled increases throughout their career, which can incentivize employees to stay with the organization.105 According to APTA, 64 percent of transit agencies provide annual salary increases as a percentage of base pay for fixedroute bus operators (the average increase that transit agencies provided was 2.68 percent in 2019)
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From page 34... ...
(N=297) I don't know Offered signing bonuses for bus operators Increased hiring salaries for bus operators None Reduced the amount of time needed for bus operators to reach higher pay scales Offered nontraditional benefits Offered higher compensation for split shifts Increased employer contributions to non-salary benefits (e.g.
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From page 35... ...
Despite some limiting factors posed by collective bargaining agreements (see Chapter 3 for more information) , bus operator wages and benefits are often a top priority in labor contract negotiations.107 In addition to playing a role in negotiating the exact starting bus operator salaries and benefits, unions negotiate cost-of-living adjustments or allowances.108 Inequities in pay between bus operators at different seniority statuses can occur in transit agencies that do not create and/or routinely reassess well-structured and formalized wage progression plans.
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When asked how frequently they believe that their transit agency conducts wage comparisons with other similar and major employers or industries in their geographic area, only 9 percent of survey participants indicated "annually" (Figure 6)
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From page 37... ...
, trainings, or college course credits. Per industry survey results, several respondents believed that their transit agencies offer financial incentives, including appreciation bonuses, gift cards for bus operators who receive public compliments, attendance bonuses, and milestone anniversaries, as non-traditional benefits.
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From page 38... ...
4.2 Forward-Thinking Approaches The following approaches were identified in the research and stood out as valuable ideas that transit agencies can consider with respect to addressing bus operator compensation issues: Offer Incentives for Employees Who Opt Out of Healthcare Programs Santa Clara VTA offers a Medical Opt-Out Program for employees that are covered by health insurance plans outside of the program provided by the transit agency. Employees who opt out receive a taxable monthly payment on their paychecks of 50 percent of the employer cost.115 Incentive Package -- NJ Transit Since new operators are more focused on the hourly wage than other aspects of compensation, NJ Transit offers a compensation package that includes several types of incentives.
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From page 39... ...
At Thanksgiving, the transit agency gives each full-time bus operator a bonus of $520 and an additional $50 for each year of service. Part-time bus operators receive $260 and an additional $25 for each year of work.
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