
WASHINGTON, D.C. — Presidential Emergency Board recommendations for ending the current railroad labor dispute “provide a useful basis to reach a resolution” although they “markedly exceed the rail carriers’ proposal,” Association of American Railroads CEO Ian Jefferies says in a statement issued this morning (Wednesday, Aug. 17).
The group representing railroads in the long-running negotiations, the National Carriers Conference Committee, struck a similar note in its response, saying railroads “are prepared to meet with the rail unions and reach agreements based on the PEB report without delay.”
Unions have not yet commented on the proposal. SMART-TD (Sheet Metal, Air, Rail, and Transportation Workers-Transportation Division) issued a statement this morning that its leaders “have multiple discussions scheduled today as they continue to evaluate the recommendations” and the union “will act judiciously as the PEB’s findings are examined.”
The recommendations delivered to the White House and the two sides in the dispute on Tuesday include a 22% wage increase over five years and a call for railroads to withdraw their proposal to shift conductors from on-train to ground-based positions, among other items [see “Presidential Emergency Board issues rail contract recommendations …,” Trains News Wire, Aug. 16, 2022].
The AAR says the proposal would lead to an average employee payout of more than $11,000 upon ratification, with Jefferies saying “an agreement based on these terms would lead to the largest general wage increase in nearly 40 years. …
“In the interests of all rail stakeholders, now is the time for railroads and their unions to reach a contract. The industry is prepared to propose agreements based on the PEB’s recommendations to provide our employees with long overdue pay increases and avert rail service interruptions.”
The NCCC used near-identical language in saying the PEB recommendations “significantly exceed those proposed by the carriers.” It also said they are “far above those contained in prior rail labor settlements” and would “include the most substantial wage increases in decades.” The railroad group said average rail-worker wages would reach about $110,000 per year by the end of the decade, with total compension — including health care, retirement, and other benefits — averaging more than $150,000 per year.
But it also said “it is in the best interests of all stakeholders – including customers, employees, and the public – for the railroads and rail labor organizations to settle this dispute and prevent service disruptions.”
— Updated at 11:10 a.m. CDT with National Carriers Conference Committee statement; updated at 11:22 a.m. with SMART statement. Trains News Wire will continue to update this story as additional reactions become available.
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