All eyes are on the railroad negotiations as a fourth union, SMART – Transportation Division, the largest rail union, had rejected the tentative agreement on the table for not providing adequate sick days for their members. A national strike on the railroad would have costed the US economy up to $2 billion a day, a situation that would be untenable.
The House of Representatives has agreed to avoid the strike, moving legislation to the Senate. The hold-up comes after the Presidential Advisory Board got involved in September to help both sides come up with an agreement to get them past the strike deadline. Still, of the fifteen unions involved, only eleven have affirmed that deal.
The Senate on Thursday passed a bill to avoid a railroad strike, while rejecting separate measures to give rail workers extra sick leave days and to extend a cooling-off period between management and labor for 60 days. The bill to avoid the strike passed with bipartisan support and avoids a catastrophic blow to the U.S. economy ahead of the holidays.
President Biden signed legislation Friday to block a national U.S. railroad strike, preventing workers from walking off the job weeks before the holiday season. The strike could have devastated the American economy. Without the legislation, rail workers could have gone out next week, but the impacts would be felt as soon as this weekend as railroads stopped accepting hazardous materials shipments and commuter railroads began canceling passenger service.
As the situation is still tense, Alba Wheels Up continues working with carriers, shippers and domestic airlines to prepare contingency plans, in the case they might be needed. By pivoting to over-the-road truck options, transloading, and even domestic flights, we can provide solutions for cargo conundrums while the unions sort out the final pieces of the puzzle.
While labor issues aren’t specific to this time of year, we have spent decades building customizable plans to suit our logistics customers and offer them the peace of mind of working with experts. Our worldwide network of strategic partnerships gives us the community resources to ensure your cargo avoids the delays and pain points that come with a strike.
Despite the rail issues taking the top story this week, we’ve also been busy watching labor discussions overseas and on the west coast as the ILWU and PMA still struggle to find common ground. Alba stays ahead of the curve to accurately predict where our clients will need us most in the coming weeks, and it helps us ensure we can deliver your success.
–