Nearly 100% of Brotherhood of Locomotive Engineers and Trainmen members have voted in support of a nationwide strike, which BLET National President Dennis R. Pierce is calling “a showing of solidarity and unity.”
The National Mediation Board (NMB) on June 14 set in motion a 90-day-maximum time clock toward a national railroad shutdown. It released BLET and 11 other rail craft unions (bargaining in two coalitions collectively representing some 115,000 rail workers) from NMB-guided mediation with most Class I freight railroads and many smaller ones, ending attempts to negotiate, voluntarily, amendments to existing wage, benefits and work rules agreements.
This triggered a “cooling off period,” which is set to expire at 12:01 a.m. EDT on July 18, 2022. At that point, self-help is available to the parties, unless President Joe Biden appoints a Presidential Emergency Board (PEB) pursuant to Section 10 of the Railway Labor Act. A PEB would halt any strike or lockout by the parties, and would investigate and issue a report and recommendations concerning the dispute.
However, NMB ordered negotiators back to Washington on July 12 for a “public interest” session, according to a June 27 report by Railway Age Capitol Hill Contributing Editor Frank N. Wilner; the move, he said, was “a final effort to extract concessions leading to a voluntary agreement. Failing that, the NMB will recommend President Biden appoint a PEB.”
BLET’s Pierce, late on July 12, reported that 99.5% of the union’s “participating members voted to authorize a strike should such action become legal in the coming days, and become necessary to secure a contract worthy of their consideration.”
Ballots were mailed June 24 to more than 23,000 eligible members, “who are employed on the railroads where the dispute exists and where the BLET has representation rights for their craft.” They had until 10 a.m. EDT on July 12, to cast their votes. According to BLET, it was “a mandatory step required by the Brotherhood’s internal law as the Union approaches the point where self-help becomes a legal option to both labor and management.”
Pierce, in a statement released when the ballots were being mailed, emphasized that “authorization does not mean a strike will occur, nor does it mean that all railroads may be struck.”
He, too, voted to authorize the strike, which he addressed in a July 12 statement to members, which he titled, “BLET Strike Vote: The rest of the story.” Railway Age provides the full statement below, plus commentary by Capitol Hill Contributing Editor Frank N. Wilner.
‘BLET Strike Vote: The rest of the story’
By Dennis R. Pierce, BLET National President
“Today [July 12], the Brotherhood of Locomotive Engineers and Trainmen tallied the ballots cast in its first nationwide strike vote over national contract negotiations since 2011. In a showing of solidarity and unity, 99.5% of the participating members voted to authorize a strike should such action become legal in the coming days, and become necessary to secure a contract worthy of their consideration. Contrary to the self-serving propaganda being spread by the rail carriers, the BLET membership owes no one an apology for voting as they did. I too voted with the majority and I applaud them for doing it. But there is more to this story than just casting a vote in favor of striking.
“In the years preceding the pandemic, the majority of the nation’s Class I rail carriers adopted slash and burn operating plans with only one goal in mind; profits without regard to the health, safety, satisfaction or well-being of their employees, their customers or our Nation at large. To accomplish their goals, they furloughed or fired a third of their nationwide workforce, forcing the remaining employees to work more. They began running longer and longer trains, without regard for safety concerns, that continue to all but shut down the rail networks due to an infrastructure never designed to run these longer and heavier trains. As the post pandemic economy started to ramp up, they refused to adequately staff their operations, continually blaming their remaining employees for rail carrier actions that negatively impacted their shippers. Draconian attendance policies were implemented, forcing engineers and conductors to work day in and day out with no scheduled time off or be fired. These ridiculous policies forced thousands of employees out of the industry, either by resignation or termination, further compounding an already understaffed operation. And if anyone is close to being abused as much as the employees by this business model, it’s the shippers, or as they should be called, the rail industries’ customers.
“Most of this information has been in the news, but there is a reason that nothing is changing. This “employee and shipper be damned” business model accomplished the goal it set out to; it continues to make record profits even as the rest of the Nation’s economy struggles due to a supply chain crisis created in large part by the carriers’ business model. In short, the railroads used and continue to use their economic strength to steam roll their employees, their customers and the Nation, all for the sake of their bottom line, and it is clear that they have no intentions of changing.
“Now, let’s throw a national contract negotiation into this already toxic workplace. The BLET members who voted to strike this week have worked for incredibly profitable railroads for over three years without a wage increase. They were considered essential workers during the height of the pandemic, forced to work day in and day out or be fired, with no financial recognition for doing so. All the while, the rail carriers’ “profits over all else” mentality completely saturated our contract negotiations. Let’s be clear; in our third year of negotiations, the rail carriers have never made a contract proposal to our Union that their employees, our members, would accept. Not once.
“Conversely, the united rail unions, bargaining as coalitions, have made contract proposals that would improve the financial standing and quality of life of the hard-working Americans who make up our collective memberships. There is no fact-based argument that the rail carriers cannot afford the Union’s proposals nor do they even make such a claim. Rather, consumed by corporate greed that would make the robber barons of old blush, they just simply don’t want to share their record profits with their employees. Ironically, our proposals if adopted, would actually improve the workplace, improve the rail carriers’ ability to hire and adequately staff their operations and, in the end, improve the current railroad supply chain crisis that was created by railroad management.
“Instead, the rail carriers have stonewalled at the bargaining table, adding insult to injury with their workforce every day as inflation drives the cost of living through the roof. One railroad CEO called certain operating employees, who actually move the nation’s freight doing what have become thankless jobs, “unnecessary” in a public appearance. People off of the street are being offered thousands of dollars to hire on at the railroad with no experience, only to work alongside existing experienced employees who have not had a contract raise for three years. Rail carriers refuse to deliver cars on time every day of the week, all but creating their own “job action” as they shut down industry after industry without any concern.
“Today, the rail industry is running a full-blown media blitz asking for government intervention to save them from a possible legal job action by the employees that they have abused for years. Consider the hypocrisy in that. The railroads continue to tell the Surface Transportation Board, Department of Transportation and Federal Railroad Administration that the government should stay out of their failing business model despite shipper complaints. But when it comes to dealing with their own employees, they now seek government intervention rather than just make a contract offer that their employees would accept and be done with the bargaining round.
“The real bottom line is this. It is a sad, shameful day when employers treat their employees so poorly that those employees are forced to exercise their economic strength through a legal strike just to be treated fairly in the workplace. These contract negotiations should have been settled years ago, and in industries not governed by the Railway Labor Act, they more than likely would have been. The economic power of a legal strike is never to be abused or taken lightly, but the mere fact that it exists in other industries often compels those employers to negotiate fair contracts.
“It is obvious that the rail carriers are not similarly compelled; they count on and hide behind the provisions of the Railway Labor Act to save them from having to treat their employees fairly. An industry that generally hates government involvement now seeks just that by lobbying shippers and government seeking their intervention.
“In the end, the question of whether or not any of the rail industry’s Union-represented employees want to legally strike is secondary to what they truly want. They want a contract with meaningful wage increases and good benefits. They want jobs that give them the ability to have a life outside of work. To be clear, there would be no need for a strike vote if any of that had happened in these negotiations. The responsibility for the rail industry and our Union even being in this situation lies squarely on the rail carriers. They created the mess, and they have the power and financial means to fix it. It is sad that we may have to collectively go to the federal government to accomplish that, but rest assured that our Brotherhood is now prepared to take the next steps in the process, as we fight to reach a contract settlement that our membership will accept.
Wilner Weighs In
Commenting on the BLET President’s message is Railway Age Capitol Hill Contributing Editor Frank N. Wilner, author of “Understanding the Railway Labor Act,” and a former union and carrier official involved in rail collective bargaining since the 1970s:
“Dennis Pierce is perhaps the savviest labor negotiator in the rail industry today. He makes telling and accurate points, but he undermines his case by creating a ‘big lie’ he is selling his members. Pierce alleges that carriers ‘now seek government intervention rather than just make a contract offer that their employees would accept …’
“In fact, it is rail labor, since the start of negotiations in January 2020, that has pushed for a release from collective bargaining, angling for appointment from labor-friendly President Biden of a favorable Presidential Emergency Board (PEB)—with an assumed backstop of labor friendly Democrats holding House and Senate majorities.
“Labor refused to participate in virtual collective bargaining when the COVID pandemic prevented face-to-face negotiations. In January 2022, after making a take-it-or-leave-it 47% wage boost demand, and no increase in healthcare insurance premiums—frozen for nearly a decade while healthcare costs soared, and carriers paid 100% of premium increases—Pierce sought mediation assistance from the National Mediation Board (NMB). That proved a sham, because mediation barely began in mid-March when the Pierce-led labor bargaining coalition demanded release from mediation in hopes of political advantage through third-party intervention.
“Pierce gained that result under a questionable ruling by the NMB’s Democratic majority—questionable because a professional mediator was shoved aside before a full plate of complex issues even began to be explored under NMB guidance, making it perhaps the shortest mediation in NMB history. Moreover, both Democrats have organized labor backgrounds. Linda A. Puchala is a former president of the Association of Flight Attendants, while Deirdre Hamilton is a former attorney with the Teamsters Union, of which Pierce’s BLET is a division. Neither returned requests seeking comment as to what conversations they may have had with White House labor liaison Seth Harris—of public interest because NMB members do not report to the President and, by statute, the NMB’s decision-making is to be independent of the Executive Branch. Now we await appointment of a PEB.
“How a PEB consisting of neutral arbitrators will react to these events cannot be predicted. Labor has found itself before on the wrong side of what it expected to be a labor-friendly PEB, and labor’s friends in the Democratic Party—including the late Sen. Ted Kennedy (D-Mass.)—have turned on labor as well after labor rejected PEB recommendations and shut down the nation’s rail network with a work stoppage. Lawmakers do not take kindly to having to make difficult choices in election years.
“This is not to suggest that carrier management has clean hands—far from it. But if our Democratic institutions are to function as envisioned, those institutions and their processes must be respected. As we have quoted before—by former Democratic NMB member Robert O. Harris, who later was a well-respected arbitrator, ‘Welcome to the oldest established craps game in Washington. Like the suckers in ‘Guys and Dolls,’ you are risking your futures on the roll of the dice.’”