WASHINGTON, D.C. – July 15, 2022 – Today, President Biden signed an executive order creating a Presidential Emergency Board (PEB) to help railroads and their workers settle ongoing national labor negotiations and ultimately agree to a new contract.
“On average, railroaders earn $135,000 annually in total pay and benefits, which is higher than the average compensation of industries that employ 94% of the U.S. workforce,” said AAR President and CEO Ian Jefferies. “Railroads remain committed to reaching an agreement that provides their employees well-deserved compensation increases that keep them among the best paid in the nation.”
The Railway Labor Act governs collective bargaining for the rail industry, which aims to help parties reach an agreement without work stoppages or disruptions to U.S. freight rail movements. Among other things, the statute includes provisions to encourage successful negotiations and, when necessary, provide outside assistance, such as forming a PEB to facilitate a resolution.
“We are pleased that President Biden has followed precedent and named a PEB comprised of highly experienced and respected arbitrators to help all parties find a reasonable path forward,” continued Jefferies. “An agreement that allows both our hardworking employees and the industry to thrive into the future remains possible.”
The president has named Ira Jaffe as chair of the PEB. Barbara C. Deinhardt and David Twomey will also serve as members of the board. All three are experienced, respected labor arbitrators with significant experience resolving labor disputes.
Now, the PEB will review the parties’ proposals and hold hearings in the coming weeks before issuing settlement recommendations. Historically, these recommendations can serve as a roadmap for a voluntary agreement.
The National Carriers’ Conference Committee represents the carriers in national bargaining, including in upcoming PEB proceedings. For additional information about the status of these negotiations, please visit RailLaborFacts.org.
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For more information, contact: AAR Media Relations at media@aar.org or 202-639-2345.
About AAR: The Association of American Railroads (AAR) is the world’s leading railroad policy, research and technology organization focusing on the safety and productivity of rail carriers. AAR members include the major freight railroads of the U.S., Canada and Mexico, as well as Amtrak. Learn more at www.aar.org.
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