Members Who Work Federal Holidays Guaranteed Extra Pay Under New Bill

February 17, 2026

For generations, SMART-TD members have known a hard truth about our jobs: holidays don’t stop the work.

That is why our union is proud to endorse a newly introduced bill from U.S. Senator Ruben Gallego: the Holiday Pay Act.

What the Holiday Pay Act Does

The Holiday Pay Act amends the Fair Labor Standards Act (FLSA) to require that employees who work on a federal legal public holiday be paid at least time-and-a-half for those hours.

The bill:

  • Applies to federal legal public holidays (such as Thanksgiving, Christmas, and New Year’s Day)
  • Requires no less than 1.5× an employee’s regular rate of pay for holiday work
  • Prevents employers from counting holiday premium pay toward overtime to offset what workers are owed
  • Includes full enforcement and back pay protections under existing federal labor law

Most importantly for SMART-TD members: this bill was written in a way that includes rail and bus workers! This is a significant victory.

Holiday Pay Act Sets a National Standard

For decades, rail and transit workers have fallen into a legal gap where working holidays was treated as “just part of the job” without any guarantee of premium pay that workers receive in other industries.

This legislation doesn’t replace collective bargaining or negotiated agreements. Instead, it sets a national floor of fairness, ensuring that no matter where you work or which employer you work for, holiday labor is valued and compensated appropriately.

Working Holidays in the Transportation Industry is the Norm

While most of the country gathers with family on Thanksgiving, Christmas, or New Year’s Day, rail and bus workers report for duty. Trains still move fuel to power plants. Buses still carry essential workers to hospitals and jobs. Freight still moves to keep grocery shelves stocked and the economy running.

Working holidays isn’t an exception in our industries: it’s an expectation that’s discussed openly.

Despite that sacrifice, rail and bus workers have long been excluded from many federal worker-protection laws. Even when Congress passes legislation meant to benefit American workers, transportation workers are too often left out.

Why This Matters to Rail and Bus Members

For rail workers, holidays often mean:

  • Being called after multiple crew members mark off
  • Celebrating Christmas early to line up with your rest day
  • Eating Thanksgiving dinner out of a gas station or terminal vending machine

For bus members, it means:

  • Operating routes so nurses, caregivers, and service workers can reach their jobs
  • Maintaining and repairing vehicles to keep transit systems safe and reliable
  • Showing up for communities that rely on public transportation every single day

In both cases, our members put duty to the public ahead of personal comfort. That work has always been essential, but it has not always been fairly recognized or compensated.

This bill seeks to right that wrong.

“Holidays Don’t Stop the Work of Keeping This Country Running”

SMART-TD’s National Safety & Legislative Director Jared Cassity praised the legislation and thanked Senator Gallego for recognizing the contributions and sacrifices of our members.

“Railroad workers have always known that holidays don’t stop the work of keeping this country running. While most Americans are home with their families, rail workers are moving food, fuel, and critical goods that our economy and country depend on,” Cassity said. “Senator Gallego’s Holiday Pay Act finally recognizes that reality. This bill will ensure that when we work on federal holidays (as we always have), we are compensated fairly for that sacrifice. Just as important, it offers long-overdue acknowledgment and respect for the essential service rail workers provide every day of the year. SMART-TD is proud to endorse this legislation, and we thank Senator Gallego for standing with railroad workers and essential workers across this country.”

A Step Toward Respect and Dignity

Beyond the dollars and cents, this bill represents something equally important: acknowledgment.

Recognition that rail and bus workers perform essential work.
Recognition that our industries do not stop on holidays.
Recognition that personal sacrifice deserves dignity and respect.

SMART-TD thanks Senator Gallego and his office for acknowledging the role transportation workers play in keeping America moving, not just on ordinary days, but on the days that matter most to families across this country.

We will continue working to ensure this legislation advances and that the voices of rail and bus workers are heard loud and clear in Washington.