https://www.nytimes.com/2022/09/12/business/economy/freight-railroad-strike.html

This could get really bad really quick. Saw on the morning news that around 45% of all USA freight is moved by train, which we'd need the equivalent of an extra 400K semi trucks/trailers on the road to replace the railroads. US economy would lose something like 3B dollars a day if they strike.

If they decide to go through with this, the shelves could be empty within days. Going to make the TP shortage look like child's play. In the words of TWYC KABOOOMMM!!!! If you don't believe me go take a look at what happens when the EBT system goes down for a day.

I have a buddy that works for UP and I was talking with him earlier and he said, "this isn't isolation of a few people not happy it's the entire country. This is a national contract that affects 12 unions and roughly 165,000 employees and families. Every class 1 railroad will shut down. As far as I can tell the unions are not budging on this. The carriers are already shutting down rail car movement a full week in advance because they want congress to intervene and force us into the contract on the carrier's terms. They are trying to scare businesses and communities into lobbying congress to put a stop to it."

I can't see the Fed government allowing that type of strike. We'll see what happens.

I really don't think the Government should have any say in it. Government needs to stay out of private business. If I were the railroad company and the carrier was making billions in profit I'd tell them to either meet the demands of our workers or go pound sand. It is a free market, the carriers can either find someone else to run their freight or pony up some of those profits for the worker's and families of the worker's. I'm not a fan of unions or the government lol.

President Ronald Reagan has entered the chat.

Yep, FOX Business is all over this. This will be seen as a win for Biden when he intervenes with a settlement.

Not sure if you meant it that way, but I'll take that as a compliment

My friend has worked for BNSF for 15 years. They have been without a contract and pay increase for 3 years now I believe. That coupled with the idiotic attendance policy for train crews is a big part of this mess.

Think he is referring to the air traffic controller strike. You think inflation is bad now wait and see what happens to prices at the retail level if the rail cars quit moving. Rail strike or not it will get worked out but I think things will get pretty messy if they do.

I'm in trucking - bring it on, I could use some extra margin right now.

Oh haha, makes sense. Was a bit before my time so didn't get the reference.

https://www.history.com/.amp/this-day-in-history/reagan-fires-11359-air-traffic-controllers


Don’t know if that was written well as I don’t know a ton about it.

I will say this. If government can take my house to build a football stadium they can get involved in business as it relates to sensitive infrastructure.

I see Biden getting on the bad side of the unions if he steps in and forces a settlement

Impossible. He is, and has always been, a union stooge.

I understand that completely but there's no bottom for this guy and his dirty, backroom dealings. Unions will get theirs in the end.

Then this could end up being a good thing.

The key take away from that part of history is the flight controllers were federal employees. The President had the power to do what he did.

With private enterprise who knows since we aren’t operating under some war powers act at the moment. I believe any President would have little obvious power in this situation. The executive branch could probably facilitate and offer some sort of concessions to those companies (maybe behind the scenes).

They can't afford to loose any of their base. They're already in a bad way.

I am surprised that after 2 years of no agreements between management and labor they have not already been on strike.

I can't remember which Labor Law the RR falls under-Either the NRLA or the RLA-I think the latter but....


President Joe Biden and his administration could wind up in another humiliating supply chain debacle after its previous attempt to broker a peace deal between carriers and rail workers — using the power of an executive order — has seemingly failed, so far. The timing couldn’t possibly be worse for the struggling administration, with the midterm elections drawing near.

To be clear, a railroad worker strike would be an unmitigated disaster for America, and it would probably make the early pandemic supply chain issues, which were certainly bad, look like no big deal.

Railroad Workers United (RWU) surveyed its members, made up of thousands of rank-and-file rail workers across the country, regarding proposals put forth by the Presidential Emergency Board (PEB) executive order signed by the president in mid-July.

Since the U.S. government has legal input regarding railroad matters, given the impact that railroads have on the country and economy and especially because of the ramifications of a railroad worker strike, the purpose of the PEB was to act as an arbitration authority and present suggested solutions to bring down the temperature between rail carriers, unions, and workers.

The White House said in July of the PEB order:

Keeping supply chains running means keeping America’s railways running. In making the decision to create the Presidential Emergency Board, the President has considered input from relevant stakeholders. The President’s goal is to make sure America’s freight rail system continues to run without disruption, delivering the items that our families, communities, farms and businesses rely on.

The Presidential Emergency Board will provide a structure for workers and management to resolve their disagreements. The Board will investigate the dispute and, within 30 days of its establishment, deliver a report recommending how the dispute should be resolved.

The RWU survey, as The Hill noted, revealed that railroaders — a vast majority at 96% — are still unsatisfied with the terms of the PEB, and are ready to walk out on Sept. 15 — the date when the PEB-established “cooling off period” ends. RWU indicated on its website that it received just over 3,100 responses as of late August.

According to KLKN, Biden’s PEB proposed a 24% pay hike over the next two years, which would be the largest hike in the industry in the past four decades. Clearly, it’s still not enough for railroaders, who say that such a hike won’t help combat rising costs as a result of Biden’s inflation, and there are other issues that workers say are more important than money.

Union representatives, like Jakob Forsgren of the Brotherhood of Maintenance Way Employes Division, insist that existing attendance policies need to be updated, and more needs to be done about safety for workers, given the extreme dangers of the job.

“Let’s be honest, these aren’t the safest jobs in the world at times, and so every day that me or my members go to work, we risk our lives,” Forsgren told KLKN. “And so with all due respect to the railroad executives, we risk things a lot more valuable than money.”

Forsgren also warned that a disruption in the railway system, especially on the eve of harvest season later this year, could be catastrophic to an already-crippled supply chain.

“We supply coal to power plants. We’re getting into harvest season, so we’re gonna start moving grain here pretty soon,” Forsgren told the outlet. “I mean it would drastically affect the supply chain, and again, that’s not something that the membership is wanting to do. We don’t want to do things like that. We would much rather get a fair contract that is worthy of ratification.”

Undoubtedly, the issue is actually probably at the top of the White House’s radar, at least internally, because if railroad workers do go on strike, the last thing Biden’s White House needs before an already-shaky midterm election is Americans fighting over toilet paper and baby formula shortages, again.

PJ Media’s Stacey Lennox has covered the issue, and Biden’s role in it, extensively. She noted what could become a major issue for congressional Democrats and the White House come mid-September when the PEB’s cooldown period expires.

Should the board fail to land on a mutually agreeable solution, Congress could make the recommendations of the PEB law and force the employees back to work. The process will conclude in mid-September, which means Democrats would have to force unions to accept a settlement right before the midterms.
How important are railroads? Ultra-important, to say the least. According to the Bureau of Labor Statistics (BLS), “Railroads haul the most freight of any form of transport in terms of ton-miles, a measure of cargo volume that considers weight and distance carried. Railroads now haul 40 percent of total U.S. freight, up from 27 percent in 1980, according to U.S. Bureau of Transportation data..."

I'm sure Pete Bootyjudge is on it

Who is a large owner of railroads? Warren Buffet. Who is Buffet’s bff? Obama. Who is controlling Biden? Obama pals Rice and Klain. Whatever happens will be whatever benefits Buffet.

I think he is the caboose on that train.

I've been in logistics and transportation for over 20 years. It will take weeks to uncover from the backlogs created by the railroads shutting down for just a few days. Talked to a buddy that works for one of the largest operators on rail and he said they started embargoing customers on Monday to prepare. There will be massive delays and shortages caused by this mess.

Heck I always wanted to drive a train. Where do I sign up to fill in?

Yep going to be a Cluster F.

Right those good paying union jobs, that he keeps talking about. What a guy!!