74 Pa.C.S. § 1724

(a) Classification of position.--

(1) The general manager shall classify all the offices, positions and grades of regular employment required with reference to the duties and compensation fixed therefor and adopt rules governing appointments to any of such offices or positions on the basis of merit and efficiency.

(2) Paragraph (1) shall not apply to the chairman of the board, secretary, counsel to the board or controller.

(3) No discrimination shall be made in any appointment or promotion because of age, sex, race, creed, color, political or religious affiliations or disability. No officer or employee shall be discharged or demoted except for just cause.

(b) Change in work force.--The general manager may abolish any office or reduce the force of employees for lack of work or lack of funds, but, in so doing, the officer or employee with the shortest service record in the classification and grade to which the officer or employee belongs shall be first released from service and shall be reinstated in order of seniority when

additional force of employees in that job classification and grade is required. No person shall be released from service under this subsection if the person can be transferred:

(1) to another job classification at a lower grade in which job classification the person had previously served, for which that person is qualified and in which the incumbent is junior in seniority; or

(2) to a vacancy in another job classification for which that person is qualified.

(c) Pension system.--There shall be established and maintained by the authority a pension and retirement system to provide for payments when due under such system or as modified from time to time by resolution of the board. For this purpose, both the board and the participating employees shall make such periodic payments to the established system as may be determined by resolution. The board may provide for participation by its employees in the Social Security program or, in lieu of Social Security payments required to be paid by private corporations engaged in similar activity, shall make payments into such established system at least equal in amount to the amount so required to be paid by such private corporations or shall make such other arrangements as will accomplish the same purpose. Provisions shall be made by the board for all officers and employees of the authority appointed under this chapter to become, subject to procedures adopted by resolution of the board, members and beneficiaries of the pensions and retirement system with uniform rights, privileges, obligations and status as to the class in which the officers and employees belong. Members and beneficiaries of any pension or retirement system established by a transportation system acquired by the authority shall continue to have rights, privileges, benefits, obligations and status with respect to the previously established system. To achieve the purposes set forth in this subsection, the board shall, by resolution, adopt appropriate procedures and from time to time shall obtain competent actuarial advice.