Tier 6 Win for TWU Local 100

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MAY 26, 2026—After weeks of deliberations, lawmakers in Albany passed a state budget bill Tuesday including a significant win for TWU Local 100 members: raising the overtime cap on Tier 6 Pensions.

The biggest reform to Tier 6 since its creation in 2012, the new overtime cap will be raised from $21,589 to $30,000, the single largest increase in its history. The cap will then increase by 3% each year afterwards.

The original Tier 6 bill in 2012 capped pensionable earnings at $15,000 above a member’s base pay. The overtime cap has long been a focus of Local 100’s Tier 6 reform efforts due to its impact on transit workers, who are often required to work overtime.

“This victory is the result of diligent lobbying efforts and member support,” said President John V. Chiarello. “We are proud to secure this win for our members in a single legislative session. These changes do not happen overnight, but together we will keep fighting for the equity we deserve.”

The current law limits the pensionable value of worked overtime, causing high-earning workers to miss out on potential retirement benefits. By raising the cap, Local 100 members will gain bigger pensions, which is essential to overall retirement security.

Other reforms to Tier 6 fueled by Local 100’s political efforts over the years include retaining the 25/55 retirement plan (25 years of service, retire at age 55), reducing the vesting period to five years down from 10 years in 2022, and in 2024, reverting Final Average Salary (FAS) calculations to a three-year average, down from five.

These victories would not have been possible without all the members who diligently contribute to the union’s COPE fund, providing a strong financial base for the union’s political activities. We would like to acknowledge the thousands of members who attended this year’s Lobby Day and met with legislators in Albany to tell them we won’t stop until Tier 6 is fixed. Lastly, we are thankful for the solidarity of the TWU of America and the support of International President John Samuelsen in the fight to ensure every transport worker can retire with dignity.

While we pause to acknowledge how far we’ve come, we know our fight to achieve pension equity continues. Each of us has a role to play in the battles that lie ahead. If you haven’t connected with your union yet, now's the time. We're fighting for real change, and the larger our army, the stronger we are.