January 30, 2012 (Detroit, MI)—SMART is pleased to announce that all of its unions have now ratified new collective bargaining agreements. After months of bargaining and failing to reach concession agreements, SMART filed for Fact Finding in June 2011. In December the Fact Finder report was issued, which was accepted by SMART and its unions. The concession agreements will save approximately six million dollars annually and provide SMART with the ability to maneuver through these difficult economic times.

“SMART is pleased to have come to an agreement with its unions,” said John C. Hertel, General Manager, “After negotiating for more than a year, we can now move forward and continue providing the residents in the region with the quality transit services they deserve.”

In December of last year, SMART was forced to reduce its services by 22% to compensate for shrinking revenue and the unions’ unwillingness to reach collective agreements that include concessions. Decreased revenue stemmed from cuts in federal funding and declining property tax revenue due to lower property values in southeast Michigan. During the previous three years, SMART management made over $11 million of budget adjustments, including restructuring departments, reducing administrative staff, early retirement incentives and wage and benefit reductions of non-union employees. With the agreements in place, union employees will now accept proportionate reductions in wage and benefits.

The Fact Finder’s report confirmed SMART’s statements regarding its difficult financial situation. The unions, Amalgamated Transit Union (ATU), United Auto Workers (UAW), American Federation of State, County and Municipal Employees (AFSCME) and Teamsters, voted and ratified their contracts this past week by a margin of 3 to 1 in favor.

SMART is southeast Michigan’s only regional transit system, serving Macomb, Oakland and Wayne counties. Recognized nationally as an innovator in community based service for its unique partnerships with 75 communities, SMART provides 40,000 rides daily and serves one million seniors and people with disabilities annually.  For information on SMART routes and services call Customer Information at (866) 962-5515 or visit smartbus.org.

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