The NJ Transit rail strike entered a second day Saturday, but the agency says negotiations will continue throughout the weekend. 

NJ Transit President and CEO Kris Kolluri shared an update Saturday morning, saying he is going back to the table with union leaders at 1 p.m. 

"We want a fair deal that will not break the bank. That is our principle, we are not moving from that. And I hope the union understands that that is where we are and that is where we will be," Kolluri said. "Ultimately, fair wages is their position, which I respect. Not breaking the bank is our position that they should respect."

Both sides are scheduled to meet with federal mediators again Sunday in Washington, D.C. 

The strike halted rail service across the state, impacting 100,000 daily train riders and more than 350,000 customers across the system overall. It also caused major gridlock for the Friday evening commute in Manhattan, with two-hour delays at the outbound Lincoln Tunnel. 

The Brotherhood of Locomotive Engineers and Trainmen (BLET), which represents about 400 of the agency's 12,000-person workforce, says its members haven't seen a raise in five years and are making $10 less an hour than their counterparts in the region. 

New Jersey Gov. Phil Murphy and NJ Transit officials say giving the engineers what they want would blow up the agency's budget and pass the cost on to taxpayers. 

Meanwhile, riders worry if a deal isn't reached soon, the strike could have a bigger impact on the Monday commute. 

Union officials said Friday once there is a tentative agreement, their members will get back to work. Kolluri could not say how quickly service would be restored. 

"We've been working very diligently, should this strike come to an end soon, to make sure we're ready to wake up the railroad, as it were, to get our assets prepositioned, should we need it ready to go as soon as a deal is reached," he said Saturday. 

The last NJ Transit strike was in 1983 and lasted about three weeks.