CSX to Consolidate Operating Divisions - Global Trade Magazine
  January 29th, 2016 | Written by

CSX to Consolidate Operating Divisions

Sharelines

  • CSX’s Huntington, WV, territory has been adversely affected by low natural gas prices and regulatory actions.
  • Over the past four years, CSX’s coal revenues have declined $1.4 billion.
  • CSX will continue to run trains in the Huntington region and the locomotive shop will continue operations.
  • Some CSX employees in West Virginia may be able to fill positions in other areas of the company.

As CSX continues to match its network resources to business demand and drive additional efficiency, the company announced that it is consolidating its operations administration from ten divisions to nine divisions and closing administrative offices at Huntington, West Virginia.

Primarily serving customers in West Virginia, Kentucky, Tennessee and Ohio, the Huntington territory encompasses the Central Appalachian coal fields, which have been significantly affected by low natural gas prices and regulatory actions. Over the past four years alone, CSX’s coal revenues have declined $1.4 billion. The reorganization is part of CSX’s focus on reducing structural costs and aligning resources with demand in its coal fields, and follows the reduction of train operations at Erwin, Tennessee and the closing of mechanical shops at Corbin, Kentucky.

CSX will continue to run trains over the territory, and its yards and other facilities in the Huntington region – including the Huntington locomotive shop – will continue operations. The company remains committed to the Huntington community, which has played a vital role in railroading and American commerce since its namesake Collis P. Huntington completed the Chesapeake and Ohio Railway in 1873.

Huntington Division administrative responsibilities will be reassigned to Atlanta, Baltimore, Florence, Great Lakes and Louisville.

The 121 management and union employees who currently report to the Huntington Division offices will remain employed in the area supporting the transition of administrative responsibilities over the next several months. At the conclusion of the transition period, the timing of which may vary by role, many employees will be given an opportunity to fill positions in other areas of the network.

“CSX remains firmly committed to providing safe, reliable rail service to customers throughout the region,” said a company statement.

CSX maintains more than 2,000 miles of track in West Virginia and handled more than 1.7 million carloads of freight in the state in 2014.

Need a Logistics Provider?

Compare over 100 Instantly



%d bloggers like this: