President Biden Steps In at 11th Hour to Forestall Railroad Strike
Late at night on Wednesday, September 14th, President Biden intervened in deadlock negotiations between railroad companies and their workers. Biden, a long time supporter of America’s rail system, has been keeping a close eye on this contract dispute over the summer. The executive branch originally flexed its power back in July, amid fears that a railroad strike could cost the economy $2 billion per day. Now, following a marathon negotiation session, both sides have made a tentative agreement. The railroad brotherhoods will vote on Thursday, September 22nd, to either accept or reject the terms.
Major disruptions were expected, even leading to Amtrak preemptively canceling service on passenger lines, ahead of the deal announcement. The possibility of a railroad strike has been delayed, and possibly avoided.
What Does the Railroad Deal Include?
After 20 hours of negotiations and a phone call from the president, the current contract includes:
- Voluntary assigned days off and one additional paid day off
- Guaranteed time off for medical appointments
- No disruption to current health care plans
- Immediate wage increase of 14% and 24% over the next five years
- Annual lump sum bonuses of $5,000
Unions had originally asked for 15 paid sick days, but this was rejected.
Demand for Voluntary Days Off
Despite headlines leading up to the potential strike focusing on the pay of railroad workers, the real sticking point was sick leave and voluntary days off. Up until now, railroad workers did not have any sick leave or guaranteed time off. In fact, union members are either working or on call 335 days per year. When on call, workers are expected to report within two hours, if needed.
Union representatives had blasted these working conditions as inhumane. The Brotherhood of Locomotive Engineers and Trainmen (BLET) issued a statement that “these policies are destroying the lives of our members.” Following multiple years of record breaking profits for the transportation and shipping industries, union members felt confident in their negotiation position. They shared anecdotally on Twitter that their “savings will last longer than the rest of the economy if we strike.”


By Sheltered International
Published: October 10, 2022 at 4:00 pm
Railroad Strike at Center of Election
Season Showdown
The strongest fear among union members is their livelihood becoming a bargaining chip during an election season. While the vote begins this week, tallying the votes could stretch into October. That means a result could be announced perilously close to Election Day in November.
Twelve separate unions will be voting to ratify the contract; if a single one votes against the contract, negotiations will have to start again. On Wednesday, before Biden’s intervention, GOP Senator Richard Burr of North Carolina and Senator Roger Wicker of Mississippi put forth a joint resolution to force the union to accept the terms from the Presidential Emergency Board created by the Biden administration in July. This measure was blocked by Senate Democrats led by Senator Sanders of Vermont. However, Speaker Nancy Pelosi indicated at the time that if negotiations failed, Democrats would present a resolution to prevent a shutdown. Details of the bill were not announced.
By Sheltered International
Published: October 10, 2022 at 4:00 pm
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