A Rail Merger Built Around American Workers
When companies announce a merger, workers frequently ask what it will mean for their jobs, wages, and families. Union Pacific and Norfolk Southern have answered that question with one of the strongest labor commitments ever attached to a major railroad transaction: a job for life.
Under the companies’ “Jobs for Life” pledge, every union employee working at Union Pacific or Norfolk Southern when the merger takes effect will continue to have a job for the duration of his or her career. Any workforce efficiencies would be achieved through natural attrition rather than merger-related layoffs.
That commitment goes beyond the standard labor protections applied to previous railroad mergers. Those protections generally provide temporary assistance to employees who can demonstrate that a transaction harmed them. The Jobs for Life pledge offers long-term employment security, from the beginning.
The companies are also putting the promise into writing through agreements with six rail unions, including the Sheet Metal, Air, Rail and Transportation Workers Transportation Division. SMART-TD, North America’s largest rail union, has endorsed the merger after securing career-long protections for its members.
Railroaders understand the network, the work and the consequences of major operational changes better than anyone. For union employees, a career in railroading offers strong benefits, financial security, and ample opportunities.
A single coast-to-coast network could offer customers more direct routes with fewer interchanges, helping American railroads compete for freight that currently moves by truck or over Canadian networks. Union Pacific and Norfolk Southern expect the combined railroad to create approximately 1,200 net new union jobs by its third year.
This country needs employers willing to invest in domestic infrastructure, compete for new business, and make firm commitments to the American workers responsible for delivering it. Union Pacific and Norfolk Southern are ready to deliver on their promise.