News

Norfolk Southern reaches tentative collective agreements with four labor unions

By Staff Writer Atlanta Trend
  • Aug 30, 2024

Norfolk Southern Corporation, in partnership with BNSF Railway, has reached tentative, five-year collective bargaining agreements with the Brotherhood of Railway Carmen Division/TCU (BRC), the International Association of Sheet Metal, Air, Rail and Transportation Workers - Mechanical Department (SMART-MD), and the Transportation Communications Union/IAM (TCU). Norfolk Southern also has reached tentative agreements with multiple General Committees for the International Association of Sheet Metal, Air, Rail and Transportation Workers - Transportation Division (SMART-TD).


The agreements, which are subject to ratification, cover approximately 30% of Norfolk Southern's union workforce and come four months before the opening of the next collective bargaining round, giving covered employees unprecedented certainty about upcoming enhancements to their pay, health care, and vacation.


"Our craft railroaders are the heart and soul of Norfolk Southern, and we are committed to supporting our colleagues who power our network every day," said Alan H. Shaw, Norfolk Southern president and CEO. "I want to thank the labor leaders who share our commitment to our craft colleagues and helped us reach this deal early, ensuring peace of mind with clear knowledge about upcoming pay, healthcare and vacation improvements. We look forward to reaching similar agreements with the rest of the unions at Norfolk Southern."


The tentative agreements provide a 3.5-percent average wage increase per year over the next five years. They also offer railroaders more vacation earlier in their career and make meaningful enhancements to an already robust suite of health care benefits.


"I appreciate Norfolk Southern CEO Alan Shaw stepping up to the plate and doing the right thing," said Artie Maratea, National President TCU. "Ensuring our members and Norfolk Southern front line employees have solid agreements in a timely manner is a huge step in the right direction and we look forward to continuing to work together in the future."


"BRC is proud to reach this agreement with Norfolk Southern," said Don Grissom, General President BRC. "Alan and his team worked hard and we appreciate their commitment to make this a reality. This agreement proves that we can make great progress working together for our members."


"The tentative agreements provide real wage increases, substantial improvements to paid time off that the railroads have historically fought us on, improvements to health and welfare benefits with an added benefit option for those that want it," said SMART Directing General Chairperson, John McCloskey. "These tentative agreements, if ratified, take away the uncertainty of when the next round of national negotiations will be completed, and if and when annual pay increases will be implemented."


"I am so proud of the progress we continue to make with Alan Shaw and the Norfolk Southern team as we partner to improve the lives of our members," said Jeremy Ferguson, National President SMART-TD. "Our members told us they wanted to be recognized for the value of their contributions without going through another long and protracted bargaining round. With these tentative agreements, together we have honored that request, removing the delay and rewarding Norfolk Southern employees with the pay and benefits they deserve."


Since 1827, Norfolk Southern Corporation (NYSE: NSC) and its predecessor companies have safely moved the goods and materials that drive the U.S. economy. 


Today, it operates a customer-centric and operations-driven freight transportation network. Committed to furthering sustainability, Norfolk Southern helps its customers avoid approximately 15 million tons of yearly carbon emissions by shipping via rail. Its dedicated team members deliver more than 7 million carloads annually, from agriculture to consumer goods, and Norfolk Southern originates more automotive traffic than any other Class I Railroad. Norfolk Southern also has the most extensive intermodal network in the eastern U.S. It serves a majority of the country's population and manufacturing base, with connections to every major container port on the Atlantic coast as well as major ports in the Gulf of Mexico.