FREIGHT RAIL STRIKE AVERTED AS CONGRESS APPROVES LEGISLATION ENDING THE LONG-STANDING LABOR DISPUTE BETWEEN RAIL COMPANIES AND WORKERS

Legislation now awaits President Biden’s signature after the Senate voted 80-15 to bind railroad companies and workers to the settlement a Biden administration helped broker in September to end the long-standing dispute that threatened to end in a rail strike. Four of twelve unions involved in negotiations over the settlement rejected it, leaving a looming possible strike starting on December 9, 2022.  Workers from the eight rail unions that approved the settlement are receiving the 24% pay raises retroactive to 2020. A rail strike could have caused devastating economical impacts across the United States as already strained supply chains were encumbered by another obstacle. Railways estimated that a rail strike would cost the economy $2 billion a day and have impacts on passenger rails relying on freight railroad tracks. Biden encouraged Congress to pass a bill now to avoid a strike and prevent an estimated 750,000 lost jobs and possible recession. This helps family potato farms access needed crop inputs that would have been orphaned if a strike occurred.