A worker safety advocacy group, the National Council on Occupational Safety and Health, issued a report Wednesday labeling Norfolk Southern and the other major freight railroads as some of the most dangerous employers in the nation because of those labor concerns about the impact of the cost cutting. Norfolk Southern Due to the executive order, NS said it reserves the right under its agreements with the unions to impose a mandate in order to comply.. These and other important factors, including those discussed under "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2022, filed with the Securities and Exchange Commission (the SEC), as supplemented in Part II, Item 1A of our Form 10-Q to be filed with the SEC on the same date as this press release, may cause actual results, performance, or achievements to differ materially from those expressed or implied by these forward- looking statements. PSR touts itself on reducing assets such as track, cars and locomotives, but little is discussed about maintaining the assets that remain. All photographs taken prior to onset of the COVID-19 pandemic. We're keeping the steel wheels moving as we play our part to keep the shelves stocked and the lights on.". Forward-looking statements are not, and should not be relied upon as, a guarantee of future events or performance, nor will they necessarily prove to be accurate indications of the times at or by which any such events or performance will be achieved. But theyre not likely to totally abandon the lean operating model adopted over the past six years that labor unions say has made the industry riskier because so many jobs have been cut, forcing inspections to be rushed and leaving train crews on call 24-7. To find a Port of Entry in your state or territory, select it in the map below or use the form in the right column. CEO Alan Shawtold Congressthat he backs some proposals like enhanced standards for tank cars, but insists the data doesnt support other ideas like minimum two-person crews. As the call for sustainability grows, impacts will be assessed by every industry. For helpful informationvisit our FAQ page. Norfolk Southern and Union Pacific stocks were up 30percent last year, and Kansas City Southerns shares were up more than 60percent. Diluted earnings per share were $2.04 in the first quarter 2023, a decline of 30% compared to first quarter 2022. The Company uses these non-GAAP financial measures internally and believes this information provides useful supplemental information to investors to facilitate making period-to-period comparisons by excluding the effects of the Incident. Norfolk Southern Railway Co has filed a lawsuit seeking to block its employees' unions from suing over a COVID-19 vaccine mandate and to prevent its The class action complaint against Norfolk Southern, captioned Bucks County Employees Retirement System v. Norfolk Southern Corporation, et al. UPDATED MARCH 16: Rail Group Staff Report: Global railway Railroads are cutting workers at a pace not seen since Probably in the range of 35 to 45percent of our business, said John Gray, senior vice president of policy and economics at the Association of American Railroads, the industrys main trade group. The railroads focus on safety has resulted in one the safest industries in the transportation sector, and now they must apply this same vigor to maintenance training and processes, because there is no excess to get it wrong. BNSF railroad filed a lawsuit Sunday against its major unions over its mandate. He was a locomotive engineer for Norfolk Southern for 20 years. It was enormous and only had two people working it. Our response reflects our strategy of focusing on long-term priorities and value.". Norfolk Southern Corporation (NYSE: NSC) announced Wednesday its first quarter 2023 financial results. "As a result of our transformation, we've set records for metrics such as train speed, terminal dwell, and shipment consistency," Squires said. Copyright 2023 The Associated Press. None, the locomotive is very small environment and no changes were made to Every economic downturn since World War II has been precipitated by nose-diving freight traffic. If you arent fully vaccinated by November 8, you should still share your status and update your record later. He called it good productivity and said the company was accelerating this strategy heading into 2020. These and other important factors, including the risks and uncertainties related to the COVID-19 pandemic and those discussed under "Risk Factors" in the Corporation's Form 10-K for the year ended December 31, 2019, filed with the Securities and Exchange Commission ("SEC"), as well as the Corporation's other public filings with the SEC, may cause actual results, benefits, performance, or achievements to differ materially from those expressed or implied by these forward-looking statements. Some freight carriers would like to cut down the typical personnel on a freight train from two (a conductor and engineer) to one. Our approach has worked. As Hollandsworth cut the locks and removed his former co-workers coats, hats, power tools and hefty company rule books, he couldnt shake the feeling that the layoffs were different this time. The congressional mandate to mitigate fatigue among crew members and other safety-related workers is now a Review Norfolk Southerns operating reports and the terms used to report performance in one convenient location. Central District of California | Justice Department Five Takeaways From COVID-19s Impact on Railroad 1. New covid variant: A new coronavirus subvariant, XBB. Youre not getting a callback, said Earick, 32. The forward-looking statements herein are made only as of the date they were first issued, and unless otherwise required by applicable securities laws, we disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. We haul tanks, Humvees, and jet fuel for the U.S. Department of Defense and deliver coal to the federally run Tennessee Valley Authority, NS wrote in an internal memo to employees, obtained by Railway Age. With safety as the industrys top priority, it just makes sense. The $387 million estimate includes the $30.9 million the railroad pledged to help residents and the community around East Palestine recover from the derailment. Norfolk Southern (NS) on Oct. 20 notified all employees that it will require them to receive the COVID-19 vaccination by Dec. 8; on Oct. 22, the railroad filed suit to block its unions from suing and its employees from striking over the mandate; now, the unions have countersued. People always thought it was the coolest thing when you told them you worked on a locomotive, he said, but now hes job hunting. To find a location offering vaccination in your community, weve created a resource page with links to search by zip code. UP on Oct. 13 announced on its website that it is complying with the executive order requiring employees of federal contractors be fully vaccinated by Dec. 8. UP and its unions are suing each other over that requirement. When it comes to the paper trail that railroads create, theyre lagging far behind other industries. The railroads have said that employees will be disciplined if they fail to comply with the vaccine mandate. The Company uses these non-GAAP financial measures internally and believes this information provides useful supplemental information to investors to facilitate making period-to-period comparisons by excluding the effects of the Incident. And creating ways to keep them engaged and always learning is the conduit for this commitment. Workers often embraced this as regular business and saved money for the time away, knowing that once volume increased, theyd be called back to work in most cases. The railroads that have imposed vaccine mandates say they are complying with President Joe Biden's executive order requiring all federal contractors to have their employees vaccinated. But the employment losses are being exacerbated by the industrys embrace of new technology and a newly efficient technique of directing rail traffic known as Precision Scheduled Railroading, or PSR, that is transforming the economics of the business. The seven major freight railroads have idled nearly 30percent of locomotives in the past year, according to the economist Blaze, as they aim to run fewer but longer trains. Its a different way of running a railroad.. COVID-19 Masking Policy at Norfolk Department of Fully automated freight trains began running in Australia about a year ago, a possible precursor of whats to come. Servicing Northern California For Over 25 Years, Select The Service Your Interested InDocument ShreddingRecords ManagementPortable StorageMoving ServicesSelf StorageOffice MovingMoving Supplies. laura lehn - via Google, I highly recommend Mayflower. BNSF said in its lawsuit that it regularly updates its requirements for workers when federal regulations change, so the vaccine mandate should be no different. Canadian railroads embraced PSR over a decade ago. The city laid off 470 part-time employees this year for the same Adding to the potential for infection, the same train crews detailed above often have to report to a physical building with others to get required paperwork, and instructions from operational personnel to complete their duties. I used their packing and moving service the first time and the second time I packed everything and they moved it. Family and Medical Leave Act - Norfolk Southern My wifes freaking out. Eliminating Assets Requires Precision Maintenance. Norfolk Southern Estimates Ohio Derailment Will Cost The price they quote you is guaranteed and if your load comes in on the scales below the pounds they quote you they will refund you the difference you paid. NORFOLK SOUTHERN COVID-19 UPDATE: Based on the social distancing guidance from the Centers for Disease Control and Prevention and as a prudent precaution, Norfolk Southern is transitioning to remote working arrangements for employees whose job functions permit. At its worst, each crew member gets a paper copy (often several pages) of the train consist and other instructions. Norfolk Southern reports first quarter 2023 results If you have a medical condition or sincerely held religious belief that prevents you from receiving the COVID-19 vaccine, you should apply for an accommodation by November 8. BNSF has a long-standing and well-settled past practice of unilaterally changing its rules and policies governing position requirements, medical standards, and safety in response to lawful federal government directives, the railroad said in its lawsuit. Norfolk Southern said it has already spent about $55 million to dig up and remove nearly 34,000 tons of contaminated soil and trucked away another 13.2 million Thats down from $703 million, or $2.93 per share, a year ago. And also more susceptible to risk than ever. ", Squires' full remarks are posted on the "Invest in NS" section of the Norfolk Southern website under "Presentations.". All employees need to provide their status by November 8, regardless of whether they are vaccinated, and even if they shared their status previously. The railroad will also have to reimburse the Environmental Protection Agency for its oversight of the cleanup. Kessler Topaz Meltzer & Check, LLP Announces Investor The rail industry, which once employed more than a million Americans, fell below 200,000 employees in 2019, the first time that has happened since the Labor Department started keeping track of railroad employment in the 1940s. 5. Freight declines have typically foreshadowed trouble for the broader economy because theyre a barometer of how much stuff is heading to market. Prior to Covid, railroads sought to shed assets and reduce workforce size to increase shareholder return and decrease operating ratios. ATLANTA, May 15, 2020 /PRNewswire/ --Despite economic challenges posed by the COVID-19 pandemic, Norfolk Southern is well-positioned to safely and successfully weather the unprecedented situation, CEO James A. Squires said Thursday at the company's annual meeting of shareholders. This cloud. NS, SMART-TD Reach Tentative Agreement on Workplace Enhancements, UP Embargo Update: Were Making Significant Progress, NARS 2023 Annual Meeting: A New Era in Railroading, MxV Rail Speeds PuebloPlex Track Construction Projects, Canadian Regulator Announces VRCPIs for Crop Year 2023-24, Class I Briefs: BNSF, CN, CPKC, CSX, CPKC/NS/UP, FRA Safety Advisory: Train Length a Critical Factor, CARB Passes New In-Use Locomotive Regulation, CN, UP, GMXT Launching Falcon Premium (Updated April 26 with UP STB Service Metrics). Craft employees will be paid any 2022 vacation for which you are eligible. These results include an initial $387 million charge Norfolk Southern Dan Bostek,Director of Operations Practices and Special Projects at Norfolk Southern, says, The use of remote simulation monitoring and training was a novel idea to many in the rail industry in 2020. In addition, the railroad operates the most extensive intermodal network in the East and is a principal carrier of coal, automobiles, and automotive parts. Precision Scheduled Railroading (PSR)s aggressive approach to staff reduction often focused on groups or crafts with limited innovation. Information included within this filing includes non-GAAP financial measures, as defined by SEC Regulation G. Non-GAAP financial measures should be considered in addition to, not as a substitute for, the financial measures reported in accordance with U.S. generally accepted accounting principles (GAAP). "We are making progress every day and I'm proud of our people. The railroad does have insurance coverage that will kick in after the first $75 million spent on damage to peoples property and after the first $75 million of damage on its own. But PSR is also causing railroads to turn away some business that isnt profitable enough, says Peter Swan, associate professor of logistics at Pennsylvania State University at Harrisburg. OMAHA, Neb. For some, this news will require a difficult individual choice. They foresee a rebound once Trump finalizes the trade deals with China, Mexico and Canada and if he subdues his tariff man instincts in an election year. The unionsthe Transportation Division of the International Association of Sheet Metal, Air, Rail, and Transportation Workers (SMART-TD) and the Brotherhood of Locomotive Engineers and Trainmen (BLET)reported on Oct. 29 that they have filed counterclaims challenging NS actions in implementing the vaccine policy without the bargaining mandated by the Railway Labor Act. Norfolk Southern and other major freight railroads have announced new safety measures, including more than 1,000 more trackside detectors. Norfolk Southern OMAHA, Neb. Rail workers are in an environment where troubles and delays are often brand new, as theyve probably forgotten how to do key maintenance tasks due to lack of practice. Norfolk Southern has let more than 3,500 employees go in the past year, including 175 in Roanoke, part of an aggressive push across the railroad industry to slash costs. John Victor - via Google, Very nice owner, extremely helpful and understanding We have based these forward- looking statements on our current expectations, assumptions, estimates, beliefs, and projections.