Rail labor issues could be resolved by PEB
Negotiations between labor unions and Class I railroads (any railroad earning profits greater than $250 million) failed in January 2020. When this happens, the federal government gets involved to ensure that the rail system is not disrupted. earlier this year a federal mediation board worked with the parties to come to a resolution but later released the parties after those efforts failed. Now the Presidential Emergency Board has provided a 124-page report containing recommendations on how the railroad and unions can reach an agreement. The recommendations include:
- A wage increase for railroad crews every five years.
- Five annual lump sum payments of $1,000, which includes up to $11,000 in retroactive payments.
- changes to healthcare benefits.
With these changes railroad worker's average salary would be around $150,000.