Latest News

Teamsters union re-opposes Union Pacific Norfork Southern Deal

Teamsters said that it opposed the merger of U.S. freight railways Union Pacific and?Southern on Wednesday.

In a joint press release, union presidents representing 20,000 employees at both railroads stated that they will not support any?deal? that does not protect the lives and livelihoods of workers.

Since its announcement, the proposed merger has been criticized by unions and other railroads. It aims to create the first coast-tocoast railroad in America and reduce delays and handoffs.

Teamsters claimed that executives from both railroads had failed to protect jobs or address?other concerns.

It's time that Union Pacific and Norfolk Southern get serious and do the right thing by their members. The Teamsters said that until they do so, it will do all in their power to stop this "harmful merger".

In November, Union Pacific and Norfolk Southern's shareholders approved the $85 billion merger. Over 99% voted in favor.

Surface Transportation Board is expected to receive applications from both railroads this week. In October, Senators John Hoeven, Amy Klobuchar, and other bipartisan senators urged the Surface Transportation Board to closely examine the proposed merger due to concerns over long-term competition. This included the impact on agricultural producers.

BNSF Railway, owned by Berkshire Hathaway, has also expressed its'strong opposition to this merger,' urging shippers and other stakeholders, including labor, to express?their disapproval to the Surface Transportation Board.

SMART-TD - the largest railroad union in the United States - backed the merger proposal after securing job protection guarantees for its members. This was a change of stance from its previous stance, which had been to oppose the deal due to concerns over job security, access infrastructure and competition.

Union Pacific issued a statement saying that "every employee who had a unionized job at the time the merger took place will still have it." Norfolk Southern didn't immediately respond to an inquiry for comment. (Reporting and editing by Alan Barona in Bengaluru, Abhinav Paramar from Bengaluru)

(source: Reuters)