Auto, Other Industries Pushing for Rail Strike Intervention. Biden Asking for Action from Do Nothing Senate Republicans

Ken Zino of AutoInformed.com on Auto and Other Industries Pushing for Rail Strike Intervention

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More than 400 industry trade groups have called on Congress to intervene in an ongoing labor dispute that threatens to shut down rail shipments by next Monday.

“This overwhelming bipartisan vote in the House of Representatives makes clear that Democrats and Republicans agree that a rail shutdown would be devastating to our economy and families across the country. The Senate must now act urgently. Without the certainty of a final vote to avoid a shutdown this week, railroads will begin to halt the movement of critical materials like chemicals to clean our drinking water as soon as this weekend. Let me say that again: without action this week, disruptions to our auto supply chains, our ability to move food to tables, and our ability to remove hazardous waste from gasoline refineries will begin. The Senate must move quickly and send a bill to my desk for my signature immediately,” said President Biden in a statement on Wednesday.

Four unions have rejected a tentative contract reached in September and approved by eight other unions. If a strike occurs, an estimated $2 billion worth of daily shipments would be impacted, covering everything from auto parts, to food, energy and other retail products, as well as commuter rail services. The unions and railroads have until December 9 to resolve differences before workers could strike or be locked out.

“However, railroads must safely reduce operations and secure their customers’ goods days in advance of a potential strike, which would halt shipments of chemicals, fertilizers, chlorine and some other essential products at least four days sooner,” according to the Specialty Equipment Manufacturers Association, aka SEMA, which is part of the coalition and released the coalition letter to Speaker Pelosi, Majority Leader Schumer, and Republican Leaders McConnell and McCarthy.

At a White House Press Briefing yesterday, spokesperson MS Jean-Pierre said: “ We have to remember: There were 12 unions involved in this. When the tentative agreement was done, when, when that agreement came out, it was praised. We received praise from rail unions and – and from folks and from the companies as well. And once that agreement came to fruition because of the work that this President did on September 15th, there was a cooling period and it was ratified by 8 unions of the 12.

“And so, look, we have to remember: There are really good, you know, good pieces in this deal. There’s a 24% pay raise and a $5000 bonus; no changes in co-pays, deductibles, or coinsurance cost; some time off for routine preventive and emergency medical care; and protecting the two-man crew.

“This is – you know – this is a deal that has a lot of benefits. But, again, he wants to make sure that we avert a shutdown that would be detrimental to our economy.

Last word to President Biden: “Let me say that again: without action this week, disruptions to our auto supply chains, our ability to move food to tables, and our ability to remove hazardous waste from gasoline refineries will begin. The Senate must move quickly and send a bill to my desk for my signature immediately.”

About Ken Zino

Ken Zino, editor and publisher of AutoInformed, is a versatile auto industry participant with global experience spanning decades in print and broadcast journalism, as well as social media. He has automobile testing, marketing, public relations and communications experience. He is past president of The International Motor Press Assn, the Detroit Press Club, founding member and first President of the Automotive Press Assn. He is a member of APA, IMPA and the Midwest Automotive Press Assn. He also brings an historical perspective while citing their contemporary relevance of the work of legendary auto writers such as Ken Purdy, Jim Dunne or Jerry Flint, or writers such as Red Smith, Mark Twain, Thomas Jefferson – all to bring perspective to a chaotic automotive universe. Above all, decades after he first drove a car, Zino still revels in the sound of the exhaust as the throttle is blipped during a downshift and the driver’s rush that occurs when the entry, apex and exit points of a turn are smoothly and swiftly crossed. It’s the beginning of a perfect lap. AutoInformed has an editorial philosophy that loves transportation machines of all kinds while promoting critical thinking about the future use of cars and trucks. Zino builds AutoInformed from his background in automotive journalism starting at Hearst Publishing in New York City on Motor and MotorTech Magazines and car testing where he reviewed hundreds of vehicles in his decade-long stint as the Detroit Bureau Chief of Road & Track magazine. Zino has also worked in Europe, and Asia – now the largest automotive market in the world with China at its center.
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