MST layoffs and cuts to service avoided, federal funding released

Monterey-Salinas Transit said it will receive federal funding the agency has been waiting on, avoiding layoffs and cuts to service.

The announcement was made Wednesday by the Department of Labor after it denied an objection filed by the Amalgamated Transit Union, according to MST.

Disagreements on pension reform became the sticking point, as union leaders continue to push for collective bargaining rights.

On Tuesday, MST said about 70 bus drivers received a notice layoffs may be necessary if federal funding was not approved.

A grant amount of $4.5 million will now be released, preventing layoffs, according to MST.