National Rail Strike Threatens the Supply Chain and Will Cost $2 Billion Per Day

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Congress is moving to prevent a US rail workers strike by intervening in a labor dispute to stop the shutdown that would devastate our economy and disrupt the transport of food, fuel and other critical items. Unions have threatened to strike if no agreement is reached by December 9. One third of products shipped in the US are transported by freight rail, including 70% of agricultural items such as grains, feeds and fertilizers. The compromise agreement that was supported by the railroads and a majority of the unions provides for 24% raises and $5,000 in bonuses retroactive to 2020 along with one additional paid leave day.

Congress is moving swiftly to prevent a looming U.S. rail workers strike, reluctantly intervening in a labor dispute to stop what would surely be a devastating blow to the nation’s economy if the transportation of fuel, food and other critical goods were disrupted.

The House was expected to act first on Wednesday after President Joe Biden asked Congress to step in. The bill lawmakers are considering would impose a compromise labor agreement brokered by his administration that was ultimately voted down by four of the 12 unions representing more than 100,000 employees at large freight rail carriers. The unions have threatened to strike if an agreement can’t be reached before a Dec. 9 deadline.

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