Two Numbers Started NJ Transit's First Strike in 42 Years. The Settlement Math Favors One of Them.
Summary
NJ Transit said its locomotive engineers averaged $135,000 a year; their union said $113,000. The three-day strike that followed ended with a ratified contract setting a $53-an-hour wage floor and $22.9 million in retroactive pay for 457 engineers, numbers that, run through a full-time year, land far closer to the union's claim than management's.
The number that started it
In the days before the strike, NJ Transit management told PBS NewsHour and the Associated Press that locomotive engineers had "average total earnings of $135,000 annually, with the highest earners exceeding $200,000." The Brotherhood of Locomotive Engineers and Trainmen (BLET) put the real 2024 average at $113,000 — and said its members wanted $170,000, roughly parity with engineers at Amtrak and the Long Island Rail Road working the same platforms. Neither number was audited by an outside party; they were the two sides' own claims, and the $22,000 gap between them was large enough to shut down a rail system.
View data as table
| Union's claimed current average (2024) | $113,000 | |
|---|---|---|
| NJ Transit's claimed current average | $135,000 | Top earners over $200,000, per management |
| Union's desired average | $170,000 |
Gov. Phil Murphy added a third figure to the standoff: he warned that meeting the union's original wage demand in full would trigger a "me too" clause in NJ Transit's contracts with its other unions, entitling all of them to the same raise at a cost of "$100 million or more" — a claim BLET General Chairman Tom Haas disputed, arguing the union's proposal included offsetting savings elsewhere. That $100 million figure never got tested, because the agreement NJ Transit ultimately signed was built specifically to avoid triggering the clause.
What the ratified contract actually pays
The NJ Transit Board of Directors approved the agreement unanimously on July 17, 2025 (Action Item #2507-34), covering "approximately 457 represented employees" under a seven-year deal running 2020 through 2027. Per New Jersey Monitor's reporting from that board meeting, the agreement raises hourly rates to $53 for locomotive engineers, $43.48 for assistant locomotive engineers, and $37.10 for trainees — all rising another 3% when NJ Transit's next fiscal year begins in July 2026.
View data as table
| Trainee | $37.10/hr | |
|---|---|---|
| Assistant locomotive engineer | $43.48/hr | |
| Locomotive engineer | $53.00/hr | +3% additional in July 2026 |
Engineers who worked at NJ Transit between 2020 and the date of the new contract will also split $22.9 million in retroactive pay for the years spent under the lapsed 2020 agreement, per the same reporting. In exchange, BLET gave back three percentage points of gross wages toward healthcare premiums, agreed to a nine-hour workday (up from eight), reduced deadhead pay, and moved mandatory training off the clock — concessions NJ Transit President & CEO Kris Kolluri told the board were what let the agency avoid the "me too" clause entirely. "No other union that is of any consequence has come to my door and said, 'I want the same deal,'" Kolluri said, according to the board's own open-session minutes. "That the givebacks were real. They were consequential."
The same board meeting adopted NJ Transit's Fiscal Year 2026 Operating Budget at $3.1554 billion — up $151.9 million, or 5.1%, over FY2025, with labor and fringe benefits accounting for 58.2% of total operating expenses. NJ Transit did not raise fares to cover the engineers' contract; fare revenue was already scheduled to rise 3% that July under a prior budget cycle.
Which claim holds up
A $53 hourly floor, worked a standard full-time year of 2,080 hours with no overtime or differentials, comes to about $110,240 — within 2.4% of the union's claimed $113,000 average, and 18% below management's claimed $135,000 average. That's a rough, base-rate comparison, not a reconciliation of two different measurement years or of overtime-heavy actual earnings against a contractual floor. But it's the only public arithmetic check available, and it lands the new base pay much closer to what the union said its members were making than to what management claimed.
The takeaway
- A $22,000-a-year gap in claimed average pay — management's $135,000 versus the union's $113,000 — was part of what shut down NJ Transit's rail system for three days, the agency's first strike in 42 years.
- The settlement's math leans toward the union's number. A $53 hourly floor works out to about $110,240 on a full-time year, close to BLET's $113,000 claim and well under NJ Transit's $135,000 claim.
- The bigger number never got billed. Gov. Murphy's warning that the union's original ask would cost "$100 million or more" through a contract-wide "me too" clause was avoided by design — BLET's givebacks were structured specifically to keep other unions from claiming the same raise.
The $110,240 full-time-year estimate is a straight multiplication of the new $53 hourly floor by 2,080 standard work hours; it does not account for overtime, longevity steps, or the years actually covered by either side's original average-pay claims, and should be read as an approximation, not an audited figure.
Sources
- New Jersey Monitor, NJ Transit train engineers strike over wage dispute (May 16, 2025) — strike timeline, 1983 precedent, contingency plan cost and rider-coverage estimate, and the "me too" clause dispute between Gov. Murphy and BLET. web.archive.org
- PBS NewsHour / Associated Press, N.J. Transit engineers reach tentative deal to end strike that halted trains to NYC (May 19, 2025) — NJ Transit's and BLET's competing average-salary claims, rider count, and strike resolution. pbs.org
- New Jersey Monitor, NJ Transit approves $3.2B budget, engineer contract (July 18, 2025) — ratified hourly wage rates, $22.9 million retroactive-pay total, contract concessions, and FY2026 budget figures, reported directly from the board meeting. web.archive.org
- NJ Transit Board of Directors, Open Session Minutes, July 17, 2025 — official record of Action Item #2507-34 (approving the BLET labor agreement covering "approximately 457 represented employees") and Action Item #2507-30 (adopting the FY2026 Operating Budget of $3.1554 billion, with Kolluri's on-the-record remarks about the "me too" clause and union givebacks). content.njtransit.com
- Brotherhood of Locomotive Engineers and Trainmen, Strike Ends as BLET, NJ Transit Reach Tentative Agreement (May 18, 2025) — union confirmation of the strike's end, "first strike at NJ Transit in 42 years," and General Chairman Tom Haas's statement on the settlement. ble-t.org
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On May 16, 2025, locomotive engineers at NJ Transit walked off the job for the first time since 1983, when a 34-day strike by conductors ended the agency's last work stoppage, New Jersey Monitor reported at the time. The strike lasted three days and halted rail service for roughly 100,000 daily riders; NJ Transit's contingency shuttle plan, budgeted at about $4 million a day, could reach only about 20% of them. Before the picket lines went up, management and the union couldn't even agree on what engineers were currently paid.