Railroad strike attainable as union requests for paid sick time rejected

The railroads took the bizarre step of issuing a press release late Wednesday rejecting the Brotherhood of Upkeep of Manner Workers Division union’s newest request so as to add paid sick time on high of the 24% raises and $5,000 in bonuses they obtained within the first five-year deal.

Union Pacific CEO Lance Fritz stated Thursday that he thinks the principle motive the BMWED rejected its preliminary contract final week was that the small print of improved expense reimbursement within the deal have been nonetheless being negotiated at UP whereas employees have been voting. So it wasn’t clear precisely what these employees would obtain for his or her journey bills after they go on the street to restore tracks.

Six of the 12 railroad unions that symbolize 115,000 employees nationwide have authorised their tentative agreements with the railroads to this point, however all of them should ratify their contracts to keep away from a strike. The unions have agreed to place any strike on maintain till at the least mid-November whereas the BMWED negotiates a brand new deal and the opposite unions vote on their proposed contracts, so there’s no quick risk the the trains most companies depend on to ship their uncooked supplies and completed merchandise will cease shifting. A railroad strike might devastate the financial system.

“In the end, I stay assured that we’re going to get our momentary agreements ratified and have the ability to keep away from a strike. That’s nonetheless a risk however I don’t assume it’s a chance,” Fritz instructed buyers after his railroad launched its earnings report.

The group that negotiations on behalf of the most important railroads, together with UP, BNSF, Norfolk Southern, CSX and Kansas Metropolis Southern, stated the brand new contracts ought to carefully observe the suggestions of the particular board of arbitrators that President Joe Biden appointed this summer season. The railroads stated that board rejected union calls for for paid sick time.

“Now will not be the time to introduce new calls for that rekindle the prospect of a railroad strike,” the railroads stated.

Officers on the BMWED union didn’t instantly reply to the railroads Thursday. Considerations about high quality of life and the flexibility for employees — notably the engineers and conductors who drive the trains — to take day off with out being penalized have weighed closely on the negotiations.

However the railroads say employees do have vital short-term incapacity advantages that kick in after 4 or seven days and last as long as 52 weeks that the unions have negotiated for over time. The railroads stated the unions have repeatedly agreed that short-term absences can be unpaid in favor of upper wages and extra beneficiant advantages for long-term sicknesses.

If either side can’t agree on contracts, Congress might step in to dam a strike and impose phrases on the employees.