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White House receives plan to end rail contract dispute

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The Associated Press

Associated Press

Josh Funk

OMAHA, Nebraska (AP) — A task force appointed by President Joe Biden to intervene in stalled rail contract negotiations said its Details of their recommendations were not immediately available, though they submitted their recommendations to the White House on Tuesday, covering 115,000 railroad workers and talking about a deal that could avoid a strike.

Railroads and the unions plan to hold a new round of negotiations next month based on these recommendations. If a new deal still cannot be agreed by mid-September, federal law allows for a strike or lockout, but Congress is likely to intervene by then to keep supply chains moving.

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Rail strikes could devastate companies that rely on Union Pacific, BNSF, Norfolk Southern, CSX and other major freight rail lines to deliver raw materials and ship products . That's why Congress likely won't allow a strike to occur. In past national railroad labor disputes, lawmakers voted to impose conditions on railroads before workers went on strike.

White House officials said it was in the national interest to avoid railroad closures, so Biden was optimistic the report would provide a good framework for successful negotiations. Told.

The report was circulated to both parties on Tuesday, but the railroad company and the union did not immediately comment on details. It was not immediately clear how quickly the National Arbitration Commission would post the report online.

The railroad entered the Presidential Emergency Committee process a month ago, far from the 12 unions it is participating in. The union had asked for a 31% price increase on a five-year contract, but the railroad company had offered a compound price increase of only 17%. The union also does not want the new contract to significantly increase the cost of medical insurance.

Railroad workers have gone without pay raises since 2019 while contracts talk about drugs. I expect to receive compensation after enduring. Strikes have also become more common in the past two years in various industries because unions generally feel empowered to demand more.

Major freight railways have cut jobs by three in the last six years as they overhauled their operations to reduce the number of locomotives and employees needed and to run fewer, longer trains. We've cut nearly a quarter. Unions say railroads expect more from remaining workers, and strict attendance policies at some railroads have made it difficult for them to take time off due to all layoffs. said.

In addition to disagreements over wages and benefits, the railroad company's proposal that the union reduce the number of workers on the locomotive from two for her to one for him firmly opposed to. A new proposed federal rule requiring two crew members in most cases should make it harder for railroads to reduce crew size, but the railroad has been pushing for a change for several years. The union claims keeping the crew to her two is not only to preserve employment, but also to ensure safety.

By reaching a new agreement, the rail companies recognize what they need to do to improve their services and reduce the delays that have plagued freight transport this year, and they are hiring new employees. All the major freight railways want to hire hundreds more workers, but labor shortages make that difficult.