The video, posted on YouTube Tuesday, was filmed on a bus transporting students from Gaetz Brook Junior High School and Eastern Shore District High School to their homes at the end of the school day.
The video shows two students fighting, egged on by the other students on the bus.
Then the bus driver, Heather Vidito, walks to the back of the vehicle yelling "'get the f--ck off now" at the out-of-control students.
School board spokesman Doug Hadley said he was shocked when he first saw the video Wednesday morning.
"Very disturbing to see that type of language being used by a driver to try and intervene in the situation," he said.
Paul Neges' daughter is in Grade 7 at Gaetz Brook Junior High and rides the bus every afternoon.
"I thought it was appalling that this violence was taking place on the bus and that type of language is coming out of the bus driver who is looking after our children," he said.
Neges said his daughter comes home with a headache every day after taking the bus. He said he thinks it's caused by the stress of fearing what she might encounter on the bus ride home. His daughter hasn't reported any problems on the morning bus ride. Vidito has been driving both routes.
Halifax school bus drivers are employed by Stock Transportation, which is contracted to provide bus services to the Halifax school board.
Hadley said the driver has been removed from working on any route until the company completes its investigation.
"My expectation is that Stock won't take too long. They'll want to speak to the driver. They'll want to look at the facts," he said.
Hadley also said they'll be working with students to educate them about appropriate bus behaviour.