HONOLULU -- The union that represents Oahu bus drivers threatened Thursday to go on strike at the end of August, one day after the bulk of students go back to school.

The teamsters union said the bus drivers will go on strike on Aug. 26 at a minute after midnight. Teamster's president Mel Kahele made the announcement late Thursday afternoon.

The bus drivers are upset about pay and pension freezes and cutbacks in medical and other benefits.

"We are allowing the company approximately 26 days to address the issues the concerns the proposals that they currently have on the bargaining table that results in 34 take backs," Kahele said.

"A strike will not manufacture money, where no money exists. That is the reality we face," Oahu Transit Services attorney, Harry Comfolone, said.

OTS, the company that runs TheBus for the city, said the city has cut its budget and there is nothing it can do about it.

"No one wants a bus strike, but the city has prepared a strike contingency plan. Let's hope cooler heads prevail," Honolulu Mayor Jeremy Harris said.

A strike would impact about a quarter of a million bus riders. It is expected to cause a huge incontinence for riders and motorists who normally drive into work. A lack of buses means more vehicles on the road.

The last Honolulu bus strike was more than 30 years ago.

Many people who ride the bus said they are shocked as they learned bus drivers may go on strike.

Wayne Longos is not sure if he should buy an August bus pass and he is not happy a possible strike would start the day after the University of Hawaii and public school students go back to classes.

"I think it's a cruel thing to do for that kind of timing," Longos said.

"We apologize for any inconvenience," Kahele said.

Kahele said the strike date was set to send a message to the city.

"We are going to allow the people to get to school on the first day and also allow the city administration to hammer out the problems," Comfolone said.

The Teamsters Union said it will no longer negotiate with management. OTS said the union is not bargaining in good faith.

The Teamsters Union said the only way to avoid a strike is if management goes to the city to ask for money. OTS said that is not possible because the budget has already been set.