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Corn Refiners Association Joins President Biden in Asking Congress to Prevent a Rail Strike

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Corn Refiners Association Joins President Biden in Asking Congress to Prevent a Rail Strike

In response to President Biden’s call on Congress to prevent a freight rail work stoppage that would cripple U.S. agricultural production and supply chains, Corn Refiners Association President and CEO John Bode issued the following statement:

“Like many U.S. agricultural processors, corn refiners are already operating at full capacity for a number of important ingredients used broadly in food and personal care products. Our industry is stretched to the limit, working to deliver ingredients that are used in thousands of products in the grocery store. Even a one-day rail work stoppage would be catastrophic for our industry and the nation’s consumers. For this reason, I’d like to express our appreciation for President Biden’s call for prompt action from Congress and join him in urging our lawmakers to prevent a rail work stoppage of any length.”

CRA is the national trade association representing the corn refining industry of the United States. CRA and its predecessors have served this important segment of American agribusiness since 1913. Corn refiners manufacture sweeteners, starch, advanced bioproducts, corn oil, and feed products from corn components such as starch, oil, protein, and fiber.

biden

Biden Avoids Rail Strike with New Deal, but not Everyone is Happy

Joe Biden signed legislation imposing a deal he negotiated between freight railroads and organized labor, averting a possible strike but risking a divide with rank-and-file union workers who opposed the settlement.

“It was tough for me,” said Biden at a signing ceremony at the White House on Friday, while heralding the bill as the only option to avert a disastrous work stoppage that would have threatened key supply chains ahead of the Christmas holiday. “It was the right thing to do at the moment, to save jobs to protect millions of working families from harm and destruction, and to keep supply chain stable around the holidays.”

But the president risks alienating labor activists and workers who have long proven key political allies, further undermining the relationship between Democrats and the white working class, and fomenting pressure to deliver on a key promise — expanding paid sick leave — that ranks as unlikely-to-impossible as Republicans take control of the House of Representatives in the new Congress.

Biden has said labor unions will have to wait to obtain sick leave, which was left out of the contract, but provided no timetable on when he could deliver. Asked when workers could expect those benefits, Biden said: “As soon as I can convince our Republicans to see the light.”

An effort by Democrats to amend the deal to include seven days of paid sick leave for workers came up short when it failed to garner the Republican votes needed in the Senate. A sick leave amendment, pushed by independent Senator Bernie Sanders of Vermont received 52 votes, short of the sixty votes needed to pass.

GOP lawmakers have seized on the dispute to highlight Biden’s rift with organized labor. Missouri Senator Josh Hawley was among the conservative Republicans taking up the workers’ cause, using it to excoriate the White House.

“All these people during Covid work from home all the time, fine,” Hawley told reporters Thursday. “Who knows how many people in the White House are still working from home. And yet if a railway worker wants more than one day of sick leave, oh, oh my goodness we couldn’t possibly do that.”

Hawley, along with several other Republicans, voted for the additional sick leave and against legislation to impose the deal, lining up with a handful of Senate liberals such as Sanders and Elizabeth Warren of Massachusetts.

The vote from GOP Senator Ted Cruz of Texas for paid sick leave led Sanders to joke on the Senate floor, “I knew you were a socialist.”

But Republicans, who largely oppose intervening in labor disputes and who have come out against extending such benefits in the past, are unlikely to provide Biden the help needed to move paid sick leave legislation for rail or other workers in the next Congress.

Union Rift

Biden has called himself the most pro-union president in US history, but his actions over the rail strike threaten to undermine the president and union leaders’ support from rank-and-file workers.

In the months after he personally negotiated the September settlement, four of the 12 unions involved in the negotiation — representing roughly 54,500 workers – rejected the contract. The unions that approved it represent about 43,000 workers, according to the National Railway Labor Conference.

One former union president, speaking on the condition of anonymity to discuss internal dynamics, expressed frustration at the AFL-CIO’s lack of involvement, which he saw as a tacit endorsement of Biden’s plan to leave out sick leave.

“Biden wouldn’t be out there unless he had the blessing of these unions,” the person said. “This is the difference, as my great-grandmother used to say — time to watch your feet and not your mouth.”

The Brotherhood of Maintenance of Way Employees Division of the International Brotherhood of Teamsters on Tuesday said it was “deeply disappointed” by Biden’s decision to impose a settlement.

The criticism from union and progressive Democrats has put Biden on the defensive.

Biden on Friday called the legislation to impose a settlement “a really good bill lacking only one thing.”

The agreement includes a 24% pay raise, an average of $11,000 in back-pay bonuses, an additional day of paid leave and would prevent increased health-insurance premiums.

Earlier: Biden Says Rail Workers Must Wait on Paid Leave, Defending Deal

Labor Secretary Marty Walsh said that ultimately for the administration, the risk of a strike impacting the nation’s food supply and putting the post-pandemic economic recovery into jeopardy outweighed the push to add sick leave to the negotiated deal.

“When you look at what the devastation a national rail strike would cause America that far outweighs the cost of moving forward,” Walsh said in an interview with Bloomberg Television.

An analysis from the Anderson Economic Group projected US workers and consumers could see losses of $1 billion over the first week of a strike.

Walsh defended Biden’s union bona fides, saying that unlike previous cases where Congress had intervened, the president won significant concessions for workers – including a pay raise, unpaid leave, and a preservation of health care premiums.

“There’s some very good provisions in the contract,” Walsh said. “It wasn’t like it was a bad contract.”

Still, the Labor Secretary said he planned continue engaging freight rail companies on the issue of paid leave, saying that the two sides didn’t need to wait for the new contract to expire to strike a deal that could improve relations between the two sides.

“I intend on sitting down with the companies and talking to them about a couple of things that during the negotiations that I heard from the unions,” Walsh said.

The president, joined at the signing by Walsh, Agriculture Secretary Tom Vilsack and Transportation Secretary Pete Buttigieg at the signing, thanked his team, vowing to redouble his efforts on paid leave.

“They did one heck of a job in averting what could have been a real disaster. And then ended up with a good product. but we still have more work to do, in my view in terms of ultimately getting paid sick leave not just for rail workers, but for every worker in America,” he said.

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US Rail Union Votes Down Latest Labor Deal

One of the US’s largest railroad labour unions have voted against a tentative workforce agreement, opening the door to strike action next month.

Train and engine service members for The Transport Division of the International Association of Sheet Metal, Air, Rail, and Transportation Workers (SMART-TD) voted to reject a five-year collective bargaining agreement with the nation’s Class 1 railroads.

Voting concluded midnight Sunday 20 November for members of the Brotherhood of Locomotive Engineers and Trainmen (BLET) as well as the SMART-TD on the proposed agreements.

SMART-TD train and engine service members have voted to reject the proposed contract, while SMART-TD yardmaster members voted to accept.

BLET members voted to accept a tentative agreement reached on September 15.

BLET and SMART-TD are the two largest rail unions, accounting for half of the unionised workforce on the nation’s largest freight railroads.

The five-year agreement ratified by BLET members and SMART TD yardmaster members addresses rates of pay, health & welfare, and other fringe benefits for approximately 24,000 locomotive engineers and other rail workers represented by the union who are employed by the nation’s Class I railroads.

A record number of eligible BLET members participated in the ratification vote with 53.5 per cent voting in favor and 46.5 per cent voting against.

Turnout among the more than 28,000 eligible SMART-TD members was a record high.

Some 50.87 per cent of train and engine service members represented by SMART-TD voted to reject the agreement, while 62.48 per cent of SMART-TD-represented yardmasters voted to ratify.

Representatives from SMART-TD will now head back to the bargaining table with the National Carriers Conference Committee (NCCC), which represents railroad management, to negotiate new terms for the affected train and engine service members.

“BLET is a membership-driven union. In September, our National Wage Committee and our General Chairmen who represent freight rail workers unanimously agreed that the time had come for the membership to have a say on their contract,” said BLET President Dennis Pierce.

“Since then, we have worked to ensure that all of our members fully understand the wins and losses in the Presidential Emergency Board recommendations and how those recommendations were improved upon leading to the tentative agreement sent out for their consideration.”

In October the Brotherhood of Maintenance of Way Employees Division (BMWED) membership voted against ratification of the tentative national agreement reached with the Class I freight railroads, sending the two sides back to the bargaining table and resetting the countdown to crippling staff walkouts.

“SMART-TD members with their votes have spoken, it’s now back to the bargaining table for our operating craft members,” said SMART-TD President Jeremy Ferguson.

“This can all be settled through negotiations and without a strike. A settlement would be in the best interests of the workers, the railroads, shippers and the American people.”

A status quo agreement between SMART TD and management is in effect until 8 December.

Beginning on 9 December, SMART-TD would be allowed to go on strike or the rail carriers would be permitted to lock out workers — unless national Congress intervenes.

“The ball is now in the railroads’ court. Let’s see what they do. They can settle this at the bargaining table,” said Ferguson.

“But, the railroad executives who constantly complain about government interference and regularly bad-mouth regulators and Congress now want Congress to do the bargaining for them.”

If there is a strike by SMART-TD or any of the other three rail unions that have rejected proposed contracts with the carriers, BLET and the other eight rail unions that have ratified agreements have pledged to honour the picket lines.

Ferguson said there was a “distinct possibility” that US Congress may pass legislation to resolve the dispute and/or impose an agreement prior to the expiration of the current cooling-off period.

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Split decision: Unions for Railroad Engineers and Conductors Take Different Routes in Freight Rail Contract Ratification Vote

Members of the Brotherhood of Locomotive Engineers and Trainmen vote to ratify national rail agreement with the nation’s Class I railroads; operating craft (Train & Engine service) members of the Transportation Division of the International Association of Sheet Metal, Air, Rail, and Transportation Workers have voted to reject it, while non-operating craft members (Yardmasters) have voted to ratify their national agreement.

Voting concluded midnight Sunday for members of the Brotherhood of Locomotive Engineers and Trainmen as well as the Transportation Division of the International Association of Sheet Metal, Air, Rail, and Transportation Workers on proposed new five-year collective bargaining agreements with the nation’s Class I railroads. BLET members voted to accept a tentative agreement reached on September 15; SMART-TD train and engine service members have voted to reject their proposed contract, while SMART-TD yardmaster members voted to accept. BLET and SMART-TD are the two largest rail unions, accounting for half of the unionized workforce on the nation’s largest freight railroads.

The five-year agreement ratified by BLET members addresses rates of pay, health & welfare, and other fringe benefits for approximately 24,000 locomotive engineers and other rail workers represented by the union who are employed by the nation’s Class I railroads.

A record number of eligible BLET members participated in the ratification vote with 54% voting in favor and 46% voting against.

Turnout among the more than 28,000 eligible SMART-TD members was also a record high. 50.87% of train and engine service members represented by SMART-TD voted to reject the TA, while 62.48% of SMART-TD represented Yardmasters voted to ratify.  Representatives from SMART-TD will now head back to the bargaining table with the National Carriers Conference Committee (NCCC), which represents railroad management, to negotiate new terms for the affected train and engine service members.

Under the provisions of the Railway Labor Act, the labor law for workers employed by railroads and airlines, contracts don’t generally expire, they become amendable. After the unions filed their Section 6 notices with the NCCC in November 2019, talks began in January 2020.

A status quo agreement between SMART TD and management is in effect until December 8 . Beginning  on December 9, SMART-TD would be allowed to go on strike or the rail carriers would be permitted to lock out workers — unless Congress intervenes.

If there is a strike by SMART-TD or any of the other three rail unions that have rejected proposed contracts with the carriers, BLET and the other eight rail unions that have ratified agreement have pledged to lawfully honor their picket lines.

CN Celebrates “Nation Builder Award” & 100th Anniversary

Canada’s largest nonprofit supply chain association, SCMA, honored CN this week with the “Nation’s Builder Award” at the SCMA National Conference and Fellow Awards Gala at Le Sheraton Hotel in Montreal. The recognition serves as the first for the leading company, responsible for transporting more than C$250 billion worth of goods each year across its 20,000 route-miles throughout Canada and parts of America.

“The 100th anniversary of SCMA served as the catalyst for this award, but the selection of CN was guided by the company’s unrivaled legacy of economic and innovative contributions to building Canada’s supply chain infrastructure,” said Christian Buhagiar, President and CEO, SCMA. “As beautiful as our country is, the variety of terrains and population density pose unique challenges for the safe, secure movement and tracking of goods and raw materials. Without leading edge infrastructure, the integrity of Canada’s supply chains is compromised and Canada’s positioning in global trade is at risk. CN has and continues to provide the investments and leadership needed to ensure that Canada is recognized for having one of the safest supply chains in the world.”

“On behalf of all CN railroaders, I am honoured to have CN recognized with the SCMA’s Nation Builder Award,” said JJ Ruest, President and CEO, CN. “As with SCMA, this year marks our centennial, and while we are proud of the company’s heritage, our focus is on the future of the supply chain and how we can play an active role in moving Canada’s natural resources and our customers’ goods to market safely and efficiently. We are focusing on investing in infrastructure, technology and solutions to increase our role in Canadian supply chain and across our international markets.”

Source: CN

Record Transit Times Reported for Davies Turner’s Express

Record transit times were reported for the UK’s leading independent freight forwarder, Davies Turner’s Express China Rail. The record numbers come shortly after the company completed the upgrade to its fixed-day, weekly rail import service for LCL cargoes.

“The record transit time achieved by our overland rail service, when ocean freight shipments were being delayed by inclement weather, showed another advantage of rail over ocean freight,” commented Philip Stephenson, chairman of Davies Turner.

The container paths coming to Davies Turner’s begins with Wuhan rail, going through Duisburg to be trucked to the Port of Rotterdam and ferried to Purfleet for its final destination at Davies Turner’s distribution centre, for discharging, customs clearance and delivery.

“While Storm Gareth caused havoc recently, causing the closure of ports and delays to ocean freight shipments, our Express China Rail service has been suffering no such problems, arriving several days ahead of schedule,” said Tony Cole, head of supply chain services at Davies Turner. “Last week, our consol box arrived and was unpacked after just 19 days, which was a record time. The scheduled transit time from the Wuhan rail hub to our Dartford depot is 22 to 24 days.”

“Since we launched the dedicated weekly consol service from Wuhan in November 2018 we have seen it go from strength to strength. Bookings have increased by 195 percent.”

Florida East Coast Railway Acquires New GE Locomotives

Jacksonville, FL – The Florida East Coast Railway (FECR) has completed the inaugural run of its first two new GE ES44C4 locomotives.

The new engines provided state-of-the-art Tier 3 locomotive power to the company’s most expedited through-freight train, transporting automotive, carload and intermodal freight from Jacksonville to Miami.

Part of GE’s Evolution Series, the ES44C4 locomotives are designed using advanced engine technology that lowers fuel consumption while also controlling NOx and particulate matter (PM) emissions. The company will receive a total of 24 ES44C4 locomotives from GE Transportation before the end of the year.

“As we continue to grow and expand, it is critical that we have dependable and efficient horsepower to support the transportation of intermodal, carload, auto and port business,” said James R. Hertwig, FECR President and CEO. “With these new Tier 3 locomotives, we are well positioned to handle current and future customer needs.”

The Florida East Coast Railway is a 351-mile freight rail line located along the east coast of Florida and serves as the exclusive rail provider for Port Miami, Port Everglades, and Port of Palm Beach.

The FEC connects to the national railroad network in Jacksonville, Florida, and provides carload and door-to-door intermodal solutions across North America.

12/03/2014