New York spends more on the public transport system than any city in the world: what is the reason for sky-high spending
'24.01.2022'
Nurgul Sultanova-Chetin
New York spends more on public transit than any other city in the world, according to a report released by the New York City Transportation Authority (MTA) last month. NY Daily News.
A 2019 report by state legislators compares MTA spending on trains and by buses with other shipping agencies around the world, including systems in Taiwan, Paris and London.
New York's transit operating costs are in some cases twice as high as those of other overseas cities.
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New York City's sky-high spending is partly due to the high salaries of employees. It is noted that labor costs are also overestimated. MTA should pay for the medical benefits of employees. Transportation agencies in European and Asian cities do not pay employee benefits because health care is subsidized at the national level.
XNUMX-hour subway service in New York City is more expensive than any other city in the report.
The rate at which NYC transit workers are compensated is also higher than in other cities. The report notes that the average time workers leave due to injuries has more than doubled from 2010 to 2019.
Operating costs for the Metro-North and Long Island Rail Road are also relatively high. Unlike some other cities in the world, commuter railroads do not have checkpoints and require the MTA to pay conductors to check tickets.
It is not clear in which cities transport systems are economical
It is not clear in the report which cities in the world have the most economical transport systems. The data shared by these agencies is confidential.
The high costs of building an MTA are well documented by researchers and scientists. But the report marks a rare occasion in which New York City officials publicly acknowledge how expensive it is to operate the city's transportation systems compared to other countries.
Alex Armlovich, a senior fellow at the Citizens Budget Commission, said the MTA has taken an important first step by "recognizing the problem and being able to identify it."
"There are issues with the MTA's operating rules and benefit structure that aren't available elsewhere," Armlovich said.
MTA leaders have focused efficiency efforts in recent years on reducing overtime fraud. Many of the efficiency improvements proposed in the report will require negotiations with trade unions.
The MTA's contract with the Local 100 transport workers' union, which represents the majority of its workforce, does not expire until next year.
