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The National Academies

TCRP F-02 [Completed]

Innovative Labor-Management Practices

  Project Data
Funds: $199,935
Research Agency: Mercer Management Consulting, Inc.
Principal Investigator: William C. Harsh, Jr.
Effective Date: 7/15/1993
Completion Date: 3/31/1995

The nature of labor-management relations in the public transit industry is changing. The needs for changes in management practices, work rules, compensation patterns, and bargaining format are prompted by a combination of factors, which have considerably altered the structure of the transit industry, such as federal policies, fiscal constraints, changes in demographic patterns and employee expectations, and technological advances. These and other factors present major challenges for the transit industry and demand innovative labor-management solutions.

Federal legislation such as the Americans with Disabilities Act (ADA) and the Clean Air Act Amendments (CAAA) are significantly impacting transit industry operations. Implementing the requirements of such legislation will involve costly capital and operating expenditures at a time when transit properties around the country are facing fiscal constraints. Funding for transit operations is being reduced at both the federal and local levels, forcing transit agencies to institute more cost-efficient methods of operating.

Shifting demographic patterns, which have generated an increase in reverse commuting and intersuburban travel, cannot be accommodated effectively with the existing transit services and will require new approaches. Furthermore, the expectations of the transit workforce are changing; today's employees are looking for rewards and compensation different from in the past. Moreover, new technological advances, which directly affect the number of jobs, are changing the nature of transit operations by requiring a more technical workforce. These factors necessitate that labor leaders and transit managers implement innovative labor-management practices to meet future demands.

The objectives of this research were to identify and evaluate potentially successful innovative labor-management practices to assist the transit industry in operating more efficiently and effectively in the context of new federal policies, fiscal constraints, changes in demographic patterns, employee expectations, and technological advances. Recognizing the major factors impacting the transit industry that influence labor-management relations, this research (1) identified exemplary labor-management practices both inside and outside the transit industry that will assist in efficient and effective transit operations, and estimated the impact of such practices; (2) developed a program to assist in implementing innovative practices; and (3) solicited facts and opinions from employees, labor unions, and management as to the feasibility of these practices.

Status: The project has been completed.

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