The New Zealand Council of Trade Unions Te Kauae Kaimahi is backing Labour’s proposal to cap public transport fares at $20 a week in Auckland, Wellington and Christchurch, and $10 a week in the rest of the country, describing it as a practical response to ongoing cost-of-living pressures.
NZCTU President Sandra Grey said the policy would deliver meaningful savings for workers and their families while encouraging greater use of public transport at a time of rising fuel costs and increasing concern about climate change.
The union says workers continue to identify the cost of living as their biggest challenge, with higher fuel prices and the prospect of rising interest rates placing additional pressure on household budgets.
According to NZCTU estimates, a typical two-commuter household in Wellington could save nearly $2,500 a year under the proposed fare cap. A single Auckland commuter already benefiting from the current $50 weekly cap could save an additional $1,440 annually.
The proposal aligns with recommendations in the union movement’s Reimagining Aotearoa Together policy platform, which called for more affordable public transport options, particularly for low-income earners who are often more reliant on buses, trains and ferries.
The union says the policy should also spark a broader discussion about New Zealand’s transport future, including greater investment in rail, coastal shipping and public transport infrastructure rather than continued spending on large-scale road projects.
Grey said the success of any fare cap would depend on increased government support to meet expected demand. That includes investment in new routes, upgraded infrastructure and improved pay and conditions for bus drivers to help address workforce shortages.
The NZCTU says affordable public transport is an investment that can strengthen economic resilience, reduce transport costs for households and support long-term environmental goals.
