SAN JOSE, Calif. – The Santa Clara Valley Transportation Authority (VTA) reached a pivotal milestone this week as three of the four unions representing its employees successfully ratified their labor contracts. These contracts will be submitted for approval by the VTA Board of Directors at a meeting on May 1, 2025. Despite outreach efforts by VTA, negotiations with the Amalgamated Transit Union (ATU) Local 265 remain unresolved.
“I am grateful to each of the bargaining units for advocating for their members and reaching agreements which are competitive and fair. These negotiations take time, cooperation, and above all, leadership,” said Sergio Lopez, Chair of the VTA Board of Directors. “At the end of the day, workers and management are united in the desire to serve our riders and residents, strengthen the organization, and ensure a fair deal for workers.”
With these three contracts now resolved, VTA hopes to bring 1,500 frontline employees represented by ATU Local 265 to the same resolution soon.
Employees represented by the following unions overwhelmingly approved new four-year collective bargaining agreements, effective April 14, 2025:
- Service Employees International Union (SEIU) Local 521 represents over 300 staff throughout the agency including IT, communications, and finance.
- American Federation of State, County, and Municipal Employees (AFSCME) Local 1101 represents more than 250 supervisory and management staff.
- Transportation Authority Engineers and Architects (TAEA) Local 21 represents over 25 professional technical staff.
Their newly ratified contracts include:
- A four-year term.
- Wage increases of 4%, 3.5%, 3%, and 4%.
- Enhanced dental and vision benefits.
- Improved workplace policies.
“I’m thankful to the members of AFSCME, SEIU and TAEA for approving fair contracts that reflect our shared commitment to VTA’s long-term success — and to the riders who rely on transit most,” said San Jose Mayor Matt Mahan. “With service restored and contracts extended for a majority of VTA’s unions, I’m optimistic that we can soon reach a fair agreement with ATU that brings stability to our residents and a well-deserved raise to our workforce.”
“We are proud to have reached successful agreements with three of our unions, showcasing their willingness to accept a fair offer that benefits everyone involved over the next four years,” said VTA General Manager and CEO Carolyn Gonot. “The terms of these contracts reward our staff with competitive wages and comprehensive benefits, while aligning with our fiduciary responsibilities. As our largest union remains the sole holdout, we remain committed to fostering a dialogue and hope to soon reach an amicable resolution that does not adversely affect service.”
ATU Local 265, representing over 1,500 members (bus and rail operators, maintenance staff, dispatchers, fare inspectors, and customer service representatives), was on strike from March 10 to March 27. On March 26, a Santa Clara County Superior Court judge enjoined the strike, mandating their return to work. Currently, these employees are working under the provisions of their previous contract as negotiations continue until a new agreement is reached.