Around 300 local bus drivers are set for a pay rise after sweeping wage increases were made to attract overseas drivers and boost capacity.
The Bay of Plenty Regional Council announced wages would rise to $28 an hour in a move the drivers' union says makes the job "more attractive".
The region's bus networks have been working on reduced timetables since the pandemic began, the council said in a statement.
In some areas, it was estimated driver numbers were almost 30 per cent less than the optimum number to provide a reliable service.
The Bay of Plenty Times last month reported that 50 drivers were needed to fill vacancies on the stretched Tauranga service.
Then, NZ Bus drivers, which operates Tauranga city services, were paid $22.75 an hour - the living wage in 2021/22.
On September 1, the living wage increased to $23.65 an hour and the drivers' pay was expected to match as part of the council's Long Term Plan 2021-31.
Andrew von Dadelszen, re-elected to the Bay of Plenty Regional Council at the weekend, had been the council's public transport committee chairman and said the wage was set at $28 to fit visa requirements in order to attract overseas drivers.
The decision received unanimous support, he said.
"We are doing everything we can to get a bus service that works."
The council's public transport director, Greg Campbell, said the increase was a step towards addressing the national shortage of bus drivers head-on.
"We recognise the benefit a reliable, efficient public transport network can make to a town, city and region.
"By making sure we're keeping up with what is expected and attractive to drivers in pay rates, we are confident that we will be able to lift our current recruitment situation, and in turn the contribution our networks make to growing and supporting the Bay of Plenty."
Calum Haslop, head of Kinetic NZ, which acquired NZ Bus earlier this year, said it had been working with council partners to increase wages for some time.
"We required council's support, as the way our contracts adjust for cost increases over time has made it difficult to keep pace with wage increases across other sectors," he said.
"NZ Bus is committed to making bus driving an attractive opportunity for a broad range of people by maintaining competitive wages, being a well-regarded and trusted employer, and looking after our people."
He said NZ Bus was working hard to address the current shortage of drivers and return to providing full timetables.
First Union assistant general secretary Louisa Jones said the pay increase recognised the importance bus drivers have in our communities and the uniquely challenging work environment Bay of Plenty drivers have dealt with over the past few years.
"It's crucial across Aotearoa that we recruit new bus drivers while recognising skills and long service, and with Bay of Plenty drivers now earning an average of around $28 per hour, the job is more attractive than ever in almost all of our major centres."
She said the union called on other councils to do the same.