Drivers and mechanics who operate Sioux Falls’ city-owned buses and paratransit vehicles have taken formal action against the private company that manages the system, raising questions about staffing, scheduling and how the city’s transit contract is being implemented.
Union says contract terms violated
The Amalgamated Transit Union Local 1356, which represents drivers and mechanics for Sioux Area Metro (SAM), filed a grievance with Via Transportation alleging the company is
"violating the terms of its collective bargaining contract"
The union’s complaint centers on how Via has been handling employee scheduling and the classification of drivers. Patrick Baetsle, president of ATU Local 1356, has been meeting with employees this week to discuss concerns related to those issues.
Background: Via has managed SAM since 2024
The City of Sioux Falls moved to a new management contract in 2024, hiring Via Transportation to operate Sioux Area Metro. The contract brought a number of changes intended to modernize the system, including:
- an on-demand micro-transportation service using vans to supplement fixed-route buses,
- an expansion of paratransit, which previously served only people with disabilities.
The company’s overhaul of services has been publicly positioned as a revamp of how the city provides mass transit, with both fixed-route and demand-responsive elements.
Local impacts and outstanding questions
For riders and residents, the dispute raises immediate concerns about service continuity and workforce stability. Scheduling and classification disputes commonly touch on who is eligible for specific runs, overtime pay, seniority protections and how work is assigned — all factors that affect staffing levels and the ability to maintain scheduled routes and paratransit pickups.
At this stage, the grievance process will determine whether the union’s claims have merit under the existing contract. The filing sets up further negotiations and — if unresolved — could lead to arbitration under the terms of the collective bargaining agreement.
What’s next
The union has signaled continued engagement with its members as it pursues the grievance. City officials and Via Transportation have not released public statements in the items reviewed for this report. How quickly the parties move to address the grievance will shape short-term operations and could influence longer-term relations between the municipality, the contractor and frontline transit employees.
| Item | Detail |
|---|---|
| Union | Amalgamated Transit Union Local 1356 |
| Contractor | Via Transportation (manages Sioux Area Metro since 2024) |
| Primary complaint | Scheduling and classification violations of the collective bargaining contract |
| Key union contact | Patrick Baetsle, ATU Local 1356 president (meeting with employees) |
Residents who rely on fixed-route buses or the expanded paratransit service will want to monitor developments. Any disruption to staffing or scheduling could affect pickups, on-time performance and the city’s ability to meet obligations to riders with limited transportation options.
The grievance underscores the tension that can follow when a city shifts management of public services to private contractors: changes intended to modernize service delivery can create labor disputes that reverberate through daily operations. As the process moves forward, the union, the contractor and city officials will confront choices about enforcement of contract terms and how to preserve reliable transit for Sioux Falls riders.
WE NEWS will continue to follow this story and report on responses from Via Transportation and city officials as they become available.
