MCTS Reaches New Labor Agreement With Union

6400 series Milwaukee County Transit System (MCTS) bus. Photo by Jeramey Jannene.

The Milwaukee County Transit System (MCTS) and the Amalgamated Transit Union Local 998 have reached a new three-year labor agreement.

MCTS announced the agreement Friday night. Michael Brown, ATU 998 Vice President, confirmed the union had ratified the contract, with 72% of members voting in favor.

The new three-year contract comes after more than nine months of negotiating. In July, ATU membership rejected a one-year contract offer from MCTS. In August, both parties extended negotiations in hopes of reaching a deal.

The union gave ATU 998 President Bruce Freeman the authority to call a strike in July. The move came in the wake of the surprise announcement that MCTS was running a $10.9 million budget deficit.

Similar to county leaders, union leadership was not notified of the scale of the deficit before a press release went out to the media. In fact, a member told Urban Milwaukee that representatives were sitting at the bargaining table when a printed-out release was slid over to them, notifying them of the shortfall just as they prepared to begin bargaining over major financial items in the contract.

The last time ATU went on strike was 2015. Since then, the union has authorized a strike three times, each time during bargaining for a new contract, but never walked off the job.

MCTS is reporting that the new contract includes items supporting the “long-term sustainability” of the system, including safety provisions and raises for both bus operators and mechanics.

However, the system itself is not currently on a sustainable path. Transit leaders are preparing to make significant cuts and raise fares in 2026 to balance the budget. The system has a structural budget deficit that has in recent years been covered by federal stimulus funds released during the COVID-19 pandemic.

The transit system is quickly spending down the remaining federal stimulus funding and will have to balance its budget in 2027 without federal aid.

“On behalf of all Milwaukee County residents, I commend the Milwaukee County Transit System and the Amalgamated Transit Union Local 998 for reaching a fair agreement that will meet the needs of working families in our community,” said County Executive David Crowley in a press release. “MCTS plays a critical role in connecting people to jobs, healthcare, education, and essential services. Now more than ever, we must come together to ensure people who rely on public transit can continue utilizing this service for years to come. I’m proud to stand in support of both MCTS and the ATU, as we continue serving passengers and supporting bus operators across Milwaukee County.”

“We appreciate the dedication and collaboration of ATU Local 998 leadership and its members in reaching this agreement. As we continue aligning our services with our budget, strong partnerships like this will be key to streamlining operations, attracting and retaining top talent, and ensuring a sustainable future for public transit in Milwaukee County,” said new MCTS Director Steve Fuentes.