Biden-mediated labor agreement rejected by the rail union is increasing the possibility of a strike. On Monday, the White House-mediated tentative contract agreement between freight railroad firms and all 12 of their unions was rejected by the union that represents almost 12,000 railroad workers.
The possibility of a statewide rail strike is once again raised by the Brotherhood of Maintenance of Way Employers Division of the Teamsters (BMWED) rejects. That would be politically difficult for the Biden administration since it might happen during the busiest holiday season, which would be terrible for the economy.
BMWED president Tony Cardwell in a statement, “The majority of the BMWED membership rejected the tentative national agreement and we recognize and understand that result,” President Tony D. Cardwell said. “I trust that railroad management understands that sentiment as well. Railroaders are discouraged and upset with working conditions and compensation and hold their employer in low regard. Railroaders do not feel valued. They resent the fact that management holds no regard for their quality of life, illustrated by their stubborn reluctance to provide a higher quantity of paid time off, especially for sickness. The result of this vote indicates that there is a lot of work to do to establish goodwill and improve the morale that has been broken by the railroads’ executives and Wall Street hedge fund managers.”
In an effort to establish a new agreement, the BWME announced that it will now initiate negotiations with the organization that speaks for management at the major freight railroads in the country. If a new agreement is not reached, there may be a strike, but not until at least November 19. Up until that point, the union’s contract will govern events as usual.
With supply systems already under pressure, the Biden administration was frantic to prevent a rail strike. According to weight and distance traveled, the major railroads transport 30% of the country’s freight. A strike might have resulted in shortages and increased costs for necessities like food and gasoline, forced the closure of factories due to a lack of parts, and resulted in bare shelves in stores during the holiday shopping season. The strike would now occur after the midterm elections, which is the only conceivable silver lining for the Biden administration.
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