{"id":8864,"date":"2022-09-15T13:08:46","date_gmt":"2022-09-15T13:08:46","guid":{"rendered":"http:\/\/lonecandle.com\/?p=8864"},"modified":"2022-09-15T13:08:46","modified_gmt":"2022-09-15T13:08:46","slug":"what-a-rail-strike-could-mean-for-you-and-the-economy","status":"publish","type":"post","link":"https:\/\/lonecandle.com\/?p=8864","title":{"rendered":"What a rail strike could mean for you (and the economy)"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">\n\n&#8220;Tens of thousands of freight rail workers are prepared to go on strike on Friday at 12:01 am, which could have wide-ranging effects across the economy. It\u2019s already causing some disruptions for rail passengers, freight companies, and others.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The cause is a dispute between the freight industry and the workers who make it run.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Most of the 12 unions representing the workers have already agreed to a proposal put together by a&nbsp;<a href=\"https:\/\/www.whitehouse.gov\/briefing-room\/statements-releases\/2022\/07\/15\/president-biden-signs-executive-order-creating-a-presidential-emergency-board\/\" target=\"_blank\" rel=\"noreferrer noopener\">presidential emergency board<\/a>&nbsp;established by the White House over the summer to try to help resolve the dispute. The proposal&nbsp;<a href=\"https:\/\/www.pbs.org\/newshour\/economy\/railroads-back-plan-calling-for-24-percent-raises-but-workers-wary\" target=\"_blank\" rel=\"noreferrer noopener\">includes<\/a>&nbsp;a 24 percent increase in wages for workers by 2024, but&nbsp;<a href=\"https:\/\/www.vice.com\/en\/article\/qjkz4q\/us-on-verge-of-economic-disaster-because-freight-rail-workers-cant-get-sick-time?utm_source=motherboard_twitter\" target=\"_blank\" rel=\"noreferrer noopener\">many workers have complained<\/a>&nbsp;that it fails to address leave, on-call scheduling, and poor working conditions.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The holdout unions\u2019 position is that pay increases aren\u2019t enough to make up for some real downsides \u2014 and dangerous aspects \u2014 of the job.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The two most powerful unions involved in the negotiations, which represent engineers and conductors, are continuing to resist the proposal, putting both sides in a deadlock. If workers do go on the strike they appear to be hurtling toward, it would be the first such strike in&nbsp;<a href=\"https:\/\/www.washingtonpost.com\/archive\/politics\/1992\/06\/24\/us-freight-railroads-shut-after-csx-strike\/c280715e-d3cc-45b6-a0da-d6567bf90689\/?itid=lk_inline_manual_28\" target=\"_blank\" rel=\"noreferrer noopener\">30 years<\/a>.&#8221;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">&#8230;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">&#8220;If a freight strike were to occur \u2014 and especially if it\u2019s long-lasting \u2014 it could have disastrous effects across an already fragile economy still reeling from&nbsp;<a href=\"https:\/\/www.vox.com\/22757240\/global-supply-chain-management-shortage-covid\" target=\"_blank\" rel=\"noreferrer noopener\">supply chain disruptions<\/a>&nbsp;and&nbsp;<a href=\"https:\/\/www.vox.com\/the-goods\/22994731\/inflation-rate-russia-gas-prices-jerome-powell\" target=\"_blank\" rel=\"noreferrer noopener\">inflation<\/a>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cRail moves a lot of the foundational, basic goods that we don\u2019t think about day-to-day,\u201d said Rachel Premack, editorial director at FreightWaves, which covers supply chains. \u201cThey\u2019ll move sand and gravel that would then be crushed into concrete for roads or for laying home foundations. Railroads move the chemicals used to purify water or to compromise fertilizer for crops, soybeans that could become food for humans or [animals] that are then food for humans. It\u2019s a lot of early-chain-type goods.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Many passenger trains also run on freight rails, and their service could be suspended. Amtrak has&nbsp;<a href=\"https:\/\/www.amtrak.com\/alert\/freight-railroad-labor-negotiations-possible-impacts-to-select-amtrak-service.html\" target=\"_blank\" rel=\"noreferrer noopener\">already warned<\/a>&nbsp;of potential disruptions and&nbsp;<a href=\"https:\/\/www.washingtonpost.com\/transportation\/2022\/09\/13\/amtrak-passenger-trains-rail-strike\/\" target=\"_blank\" rel=\"noreferrer noopener\">canceled cross-country trains<\/a>&nbsp;in anticipation of a strike, though so far its Northeast service will not be affected.&#8221;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">&#8230;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">&#8220;Replacing freight with other forms of transportation is not easy if workers do walk out. Mike Steenhoek, executive director of the Soy Transportation Coalition, told Vox in an interview that one train has the freight capacity of 400 semi-trucks. \u201cI don\u2019t know of a shipper who just has 400 semis sitting in a garage ready to be accessed,\u201d he said. He noted that for agriculture, the timing couldn\u2019t be worse because of harvest season, adding more urgency for a deal.&#8221;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">&#8230;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">&#8220;<a href=\"https:\/\/raillaborfacts.org\/bargaining-essentials\/bargaining-process\/\" target=\"_blank\" rel=\"noreferrer noopener\">Under the Railway Labor Act<\/a>, Congress has the ability to block or end a rail strike.&nbsp;<a href=\"https:\/\/www.nytimes.com\/1991\/04\/18\/us\/congress-votes-to-halt-rail-strike-hours-after-thousands-walk-off-job.html\" target=\"_blank\" rel=\"noreferrer noopener\">Since 1963<\/a>, it has passed legislation more than 10 times to intervene in rail disputes.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">So far, though,&nbsp;<a href=\"https:\/\/www.politico.com\/news\/2022\/09\/13\/white-house-rail-strike-democrats-00056433\" target=\"_blank\" rel=\"noreferrer noopener\">Democratic leaders have been reluctant<\/a>&nbsp;to commit to doing so, while Republicans have been eager to pressure workers into agreeing to the terms set by the presidential emergency board.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">If Congress were to intervene, there are a few routes lawmakers could take. They could require the unions and carriers to accept the presidential emergency board\u2019s conditions, which included a pay increase but no acknowledgment of other demands like sick leave. They could extend the existing cooling-off period so both sides have more time to negotiate. Or they could turn the talks over to independent arbitrators who would be tasked with finding a resolution.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">For now, congressional Democrats are waiting to see what might come out of the talks the Labor Department is leading between unions and railroad carriers on Wednesday before they lay out a policy response.&#8221;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.vox.com\/policy-and-politics\/2022\/9\/14\/23353627\/railroad-strike-updates-2022-amtrak-unions-congress\">https:\/\/www.vox.com\/policy-and-politics\/2022\/9\/14\/23353627\/railroad-strike-updates-2022-amtrak-unions-congress<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;Tens of thousands of freight rail workers are prepared to go on strike on Friday at 12:01 am, which could have wide-ranging effects across the economy. It\u2019s already causing some disruptions for rail passengers, freight companies, and others.<\/p>\n<p>The cause is a dispute between the freight industry and the workers who make it run.<\/p>\n<p>Most of the 12 unions representing the workers have already agreed to a proposal put together by a presidential emergency board established by the White House over the summer to try to help resolve the dispute. The proposal includes a 24 percent increase in wages for workers by 2024, but many workers have complained that it fails to address leave, on-call scheduling, and poor working conditions.<\/p>\n<p>The holdout unions\u2019 position is that pay increases aren\u2019t enough to make up for some real downsides \u2014 and dangerous aspects \u2014 of the job.<\/p>\n<p>The two most powerful unions involved in the negotiations, which represent engineers and conductors, are continuing to resist the proposal, putting both sides in a deadlock. If workers do go on the strike they appear to be hurtling toward, it would be the first such strike in 30 years.&#8221;<\/p>\n<p>&#8230;<\/p>\n<p>&#8220;If a freight strike were to occur \u2014 and especially if it\u2019s long-lasting \u2014 it could have disastrous effects across an already fragile economy still reeling from supply chain disruptions and inflation.<\/p>\n<p>\u201cRail moves a lot of the foundational, basic goods that we don\u2019t think about day-to-day,\u201d said Rachel Premack, editorial director at FreightWaves, which covers supply chains. \u201cThey\u2019ll move sand and gravel that would then be crushed into concrete for roads or for laying home foundations. Railroads move the chemicals used to purify water or to compromise fertilizer for crops, soybeans that could become food for humans or [animals] that are then food for humans. It\u2019s a lot of early-chain-type goods.\u201d<\/p>\n<p>Many passenger trains also run on freight rails, and their service could be suspended. Amtrak has already warned of potential disruptions and canceled cross-country trains in anticipation of a strike, though so far its Northeast service will not be affected.&#8221;<\/p>\n<p>&#8230;<\/p>\n<p>&#8220;Replacing freight with other forms of transportation is not easy if workers do walk out. Mike Steenhoek, executive director of the Soy Transportation Coalition, told Vox in an interview that one train has the freight capacity of 400 semi-trucks. \u201cI don\u2019t know of a shipper who just has 400 semis sitting in a garage ready to be accessed,\u201d he said. He noted that for agriculture, the timing couldn\u2019t be worse because of harvest season, adding more urgency for a deal.&#8221;<\/p>\n<p>&#8230;<\/p>\n<p>&#8220;Under the Railway Labor Act, Congress has the ability to block or end a rail strike. Since 1963, it has passed legislation more than 10 times to intervene in rail disputes.<\/p>\n<p>So far, though, Democratic leaders have been reluctant to commit to doing so, while Republicans have been eager to pressure workers into agreeing to the terms set by the presidential emergency board.<\/p>\n<p>If Congress were to intervene, there are a few routes lawmakers could take. They could require the unions and carriers to accept the presidential emergency board\u2019s conditions, which included a pay increase but no acknowledgment of other demands like sick leave. They could extend the existing cooling-off period so both sides have more time to negotiate. Or they could turn the talks over to independent arbitrators who would be tasked with finding a resolution.<\/p>\n<p>For now, congressional Democrats are waiting to see what might come out of the talks the Labor Department is leading between unions and railroad carriers on Wednesday before they lay out a policy response.&#8221;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[217,165,1316,1449,1426,1288,1328,191,1099,877],"class_list":["post-8864","post","type-post","status-publish","format-standard","hentry","category-article-share","tag-economics","tag-economy","tag-inflation","tag-labor","tag-logistics","tag-negotiation","tag-rail","tag-strike","tag-trains","tag-unions"],"_links":{"self":[{"href":"https:\/\/lonecandle.com\/index.php?rest_route=\/wp\/v2\/posts\/8864","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lonecandle.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lonecandle.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lonecandle.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/lonecandle.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=8864"}],"version-history":[{"count":1,"href":"https:\/\/lonecandle.com\/index.php?rest_route=\/wp\/v2\/posts\/8864\/revisions"}],"predecessor-version":[{"id":8865,"href":"https:\/\/lonecandle.com\/index.php?rest_route=\/wp\/v2\/posts\/8864\/revisions\/8865"}],"wp:attachment":[{"href":"https:\/\/lonecandle.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=8864"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lonecandle.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=8864"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lonecandle.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=8864"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}