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October 19, 2022U.S. Rail Cargo Union Negotiation Update
Rail Union Rejects Tentative Deal Brokered
by White House, Possible Strike Looms
A union representing about 12,000 railroad workers voted down a tentative contract on Monday, October, 10th, 2022, setting the stage for a possible nationwide strike ahead of the Thanksgiving holiday.
Four out of eleven unions have ratified contracts based on an agreement brokered by the White House last month. The seven remaining union’s votes are still being decided. Together, the eleven unions represent about 115,000 rail workers.
The Brotherhood of Maintenance of Way Employees Division of the Teamsters Union (BMWED), which has approximately 12,000 members, cast ballots and announced their vote on October 10, 2022, to reject the National Carriers’ Conference Committee (NCCC) offer.
The National Carriers’ Conference Committee (NCCC), the group representing the freight railroad companies, said in a statement that there is no risk of immediate operational impacts due to this vote. But the NCCC expressed “disappointment” in the decision to reject the contract.
“We are disappointed that members of the Brotherhood of Maintenance of Way Employees Division of the International Brotherhood of Teamsters have declined to ratify the recent tentative agreement between the BMWED and the nation’s freight railroads.”
The statement went on to note the parties have agreed to maintain the status quo as they discuss next steps. “As such, the failed ratification does not present risk of an immediate service disruption,” the NCCC said.
Cargo Rail Strike Not Immediately Imminent
As of October 13, 2022, the cargo rail strike may not be anticipated to occur on November 14, 2022, as Union President Tony Cardwell indicated his union would maintain the status quo until at least November 19, 2022, which would be five (5) days after the anticipated November 14 and return of U.S. Congress.
For any questions regarding these updates, please contact your Western Overseas representative.