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ATU Applauds Gov. Murphy, NJ State House, and Senate for Passage of the Corporate Transit Fee to Fund NJ Transit

Union Calls Corporate Transit Fee a Major Win for NJ Transit Commuters and the Garden State


Trenton, NJ -  Calling it a major victory for NJ commuters and the Garden State, the Amalgamated Transit Union (ATU), representing nearly 10,000 New Jersey Transit operators, mechanics, and operational staff, applauded Governor Phil Murphy, the NJ State House, and the Senate for passing the Corporate Transit Fee to place a fee on profitable corporations to provide critical funding for NJ Transit.

The Governor’s Corporate Transit Fee would direct much-needed funding to NJ Transit by taxing primarily large out-of-state corporations to ensure a long-term revenue source. The 2.5% Corporate Transit Fee would apply to businesses with more than $10 million in profit. It would affect roughly 600 businesses and is expected to generate about $1 billion in its first year.

“The Corporate Transit Fee is a big win for the Garden State, and we applaud Governor Murphy and NJ lawmakers for passing this important tax,” said ATU International President John Costa. “Our thousands of members at NJ Transit help safely move New Jerseyans where they need to go and keep an aging vehicle fleet operating smoothly. Corporations, who have seen record profits, and their big CEOs. will now be paying their fair share to ensure hardworking NJ Transit riders have a reliable and safe transit system they can depend on”.

Gov. Murphy proposed the Corporate Transit Fee in his budget earlier this year. The new fee will provide a critical a revenue source for NJ Transit, which faces a $766.8 million budget hole next year.

“Our members are the lifeblood of NJ Transit. They ensure NJ Transit riders can get to work, the grocery store, the doctor, and other important appointments. The Corporate Transit Fee will ensure they can continue to do this important job that so many rely on,” said ATU New Jersey State Council Chair Orlando Riley. “NJ Transit has been chronically underfunded for decades, and the big businesses that have seen record profits in recent years will now be paying to support the workers who make their profits possible.”