Status

The nation’s major freight railroads have now reached agreements with all 13 of the rail unions in national bargaining; 12 of those agreements have been ratified.

On February 2, the railroads reached a tentative agreement with the Brotherhood of Maintenance of Way Employes (BMWE), which represents more than 25,000 employees in the current round of national bargaining and was the last unsettled union. The BMWE agreement eliminated the immediate threat of a national rail strike.

The deal came the same day as contract ratifications by members of the American Train Dispatchers Association and the Brotherhood of Railroad Signalmen.

For more information on rail workers’ compensation, visit our pages on wages and health care.

Key Issues

Health Care Costs

Health care costs are rising dramatically; without changes, by 2015 the railroads would have paid $3 billion for medical, dental, and vision benefits for employees and their families, tripling the railroad’s costs per employee since 1999. The new agreements will bring the health care plan closer to the mainstream, while continuing to provide excellent health care benefits at below-average cost to employees. Read more.

Key Issues

Economic Challenges

Railroads must continuously invest in rail infrastructure and service to meet customer demands. Unlike trucks, barges and airlines, freight railroads run almost exclusively over a network that they build and maintain. Rail labor and management must work together to manage labor costs to ensure that the railroads can continue to make critical investments vital to the industry’s future success. Read more.