A drastic decrease in ridership from the COVID-19 pandemic has caused the Transit Authority of River City (TARC) to lay off 133 coach operators. TARC stresses the layoffs are temporary.
“As ridership returns, so will these valued members of the TARC team,” the authority said.
The employees will be provided benefits such as health insurance for the next three months and TARC explains this measure will be revisited before the end of the 90 days to determine if additional assistance is needed.
Kentucky Gov. Andy Beshear declared a state of emergency in the commonwealth effective March 6 and issued a “Healthy at Home” order that went into effect on March 26 that encourages Kentucky residents to only leave their homes for essential services. TARC is considered a life-sustaining business and will continue to operate with added cleaning efforts and social distancing protocols in place.
On Friday, March 27, the Coronavirus Aid, Relief and Economic Security (CARES) Act was signed into law that will provide transit agencies in the U.S. $25 billion in aid to be distributed using Fiscal Year 2020 federal funding formulas. The CARES Act also provides additional unemployment protections to workers, such as an enhanced $600/week benefit.
With the CARES Act, TARC says those workers who were laid off are now making their equivalent pay while staying safely at home. TARC management has also mandated that employee benefits during this process will continue to be paid for by TARC for the next three months—TARC will revisit this measure prior to the 90 days to determine if additional assistance may be needed.
“We are grateful for the hard work and dedication that our workforce continues to provide the community during the current crisis, especially the frontline work of our coach operators. We truly regret this decision was necessary,” said TARC. “We hope for a quick and efficient resolution to the current situation regarding COVID-19, and a speedy full return to operations as normal for the Transit Authority of River City and all our team members.”