Yesterday on October 10th railroad union (BMWED) Brotherhood of Maintenance of Way Employees Division announced the conclusion of their vote on the proposed five-year contract, majority being opposed to the adoption of the tentative agreement. Therefor reintroducing the threat of possible shutdowns in an already strained supply chain. Brotherhood of Maintenance of Way Employees Division represents around 26,000 workers in which 56% of voted against the passing of the tentative agreements. The original proposal included a 24% increase to pay, $5,000 bonuses, and one additional paid day off. The BMWED said negotiations will continue within the union and advised it would continue to work until November 19th. Four other railroad unions have approved their agreements with freight railroads including BNSF, Union Pacific, Kansas City Southern, CSX and Norfolk Southern, but all 12 unions representing 115,000 workers must ratify their contracts to prevent a strike. The group representing the railroads in negotiations emphasized that while they were disappointed in the rejection of the agreement, that there is no immediate threat of strike. To keep up with this rapidly changing market make sure you are subscribed to Noatums trade alerts and socials.
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