This isnt a bad thing, but its a necessary consideration. The railroad provided a detailed estimate of the cost of Feb. 3 derailment outside East Palestine, Ohio, Wednesday along with first-quarter earnings. 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. Not only is NS in violation of the law, it has explicitly spurned our demands that these matters be bargained. Fantastic help. Servicing Stanislaus, San Joaquin and Merced Counties, 2209 Fairview Drive Suite A Ceres, CA 95307. Technology allows operations to push this information to each member electronically, eliminating the need to physically report to a building. 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. 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. "As they always do in a crisis, our employees responded heroically," Squires said. Certain statements in this press release may be considered forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, as amended. Both Union Pacific and Norfolk Southern are offering employees $300 if they get the shots. What three people used to do, one person is doing now.. As a covered federal contractor, Norfolk Southern must adhere to these legal requirements.If you are made a conditional job offer, you will be required to provide proof of full vaccination, or apply and be approved for a health or religious accommodation prior to your start date. Its Norfolk Southern Railway Company subsidiary operates approximately 19,500 route miles in 22 states and the District of Columbia, serves every major container port in the eastern United States, and provides efficient connections to other rail carriers. When paired with operational efficiencies and industry-leading personnel, the company is positioned for future growth opportunities that will create long-term shareholder value, he said. is to create and maintain customer confidence with our services and communication. After reviewing the order carefully to be certain, we determined that we are covered under the mandate. 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. Thats better than the three previous years but still worse than a decade earlier when it reported 11.4 total accidents per million miles. The railroads are not alone in facing resistance to vaccine mandates. Learn more about the NS Green Financing Framework. A prediction of disaster: Experts say its when, not if for a What they [customers] are getting in terms of service quality today is off the chart, James M. Foote, president of CSX told investors at a November investment conference in Tennessee. 1.16, has been designated as a variant under monitoring by the World Health Organization. They have lots of options for moving. "From the beginning, we have been guided by one principle: We are going to do whatever it takes to make it right for East Palestine and the surrounding areas," said Norfolk Southern President and Chief Executive Officer Alan H. Shaw. 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 gallons of tainted water. Railroad worker checking up wheels and braking system of freight train. At its worst, each crew member gets a paper copy (often several pages) of the train consist and other instructions. That work is expected to wrap up in early June, which will boost traffic in the area. The effort required innovation and collaboration, he noted, and ranged from equipping departments to work remotely, including most of Customer Service, to purchasing hand sanitizer from local distilleries in the midst of a nationwide shortage. Adopting Digitization to Keep Workers Safe and Evolve. Environmental, Social and Governance (ESG), HVAC (Heating, Ventilation and Air-Conditioning), Machine Tools, Metalworking and Metallurgy, Aboriginal, First Nations & Native American, Norfolk Southern and SMART-TD reach comprehensive tentative agreement on quality-of-life benefits, Norfolk Southern reports first quarter 2023 results. Rail Roundup: Lawmakers want worker fatigue addressed 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. He was a locomotive engineer for Norfolk Southern for 20 years. Its always been do more with less, but now its do more with less to the absolute extreme, said a conductor in Eastern Kentucky who spoke on the condition of anonymity for fear of retribution by CSX. Norfolk Southern is a major transporter of industrial products, including chemicals, agriculture, and metals and construction materials. Yetthose who livenear the derailment site close to the Ohio-Pennsylvania border are fearful ofpossible long term health impactseven though officials say that repeated testing hasnt shown harmful levels of chemicals in the air or drinking water. Hiring and Furloughing Practices Require Rethinking. Please refer to these SEC filings for a full discussion of those risks and uncertainties we view as most important. We undertake no obligation to update or revise forward-looking statements, whether as a result of new information, the occurrence of certain events, or otherwise, unless otherwise required by applicable securities law. 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 Biden Administration has issued an executive order and associated guidance mandating that federal contractors require vaccinations for all employees. Railroads are cutting workers at a pace not seen since Norfolk Southerns first quarter profit fell 34% to $466 million, or $2.04 per share, because of the derailment costs. 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. Staffing Efficiencies Closely Tied to Safety and Resiliency. And in light of COVID, safety has expanded to include a focus on resiliency, as a tighter headcount requires a more proactive approach to keep trains running on schedule. By continuing to execute our strategic plan and provide superior service to our customers, we will move through this period successfully and be ready to capture opportunities as the economy recovers. The process was smooth and easy. Squires said the economic downturn triggered by COVID-19 will impact the railroad's business, noting that traffic volumes decreased by 11% in the first quarter of 2020 and continue to trend downward. NS follows Union Pacific (UP) in taking action. To learn how to enable JavaScript in your browser, But the details of how much insurance will actually cover will be worked out over time. That derailment, andotherssince then, sparked anationwide focuson railroad safety. The Department of Justice today announced criminal charges against 18 defendants in nine federal districts across the United States for their alleged participation in various fraud schemes involving health care services that exploited the COVID-19 pandemic and allegedly resulted in over $490 million in COVID-19 related false billings to federal Yetthose who livenear the derailment site close to the Ohio-Pennsylvania border are fearful ofpossible long term health impactseven though officials say that repeated testing hasnt shown harmful levels of chemicals in the air or drinking water. 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. UP, BNSF and NS suspend COVID-19 vaccine mandates Without the derailment costs, the railroad estimated that it would have made $1.1 billion, or $3.32 per share, exceeding the $3.15 Wall Street expected, according to a survey by Zacks Investment Research. Its very difficult for the operating crews and the towns and cities we operate through. "None of us can predict the severity or duration of this economic downturn, so we are focused on the factors within our control. Our response reflects our strategy of focusing on long-term priorities and value.". Casey Moving Systems is family owned and has been servicing Northern California for over 25 years. 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 and other major freight railroads have announced new safety measures, including installing more than 1,000 more trackside detectors. Policies. ROANOKE Jeff Hollandsworth was told to do something recently that he had never done before in his many years working for Norfolk Southern Railway: Empty 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. Committed to furthering sustainability, Norfolk Southern helps its customers avoid 15 million tons of yearly carbon emissions by shipping via rail. Prior to Covid, railroads sought to shed assets and reduce workforce size to increase shareholder return and decrease operating ratios. As freight volume picks up in the second half of 2021 and beyond,concerns about meeting demand are rising,and training new or re-hires in a timely, efficient and safe manner will be critical. Freight declines have typically foreshadowed trouble for the broader economy because theyre a barometer of how much stuff is heading to market. Adjusting for the effects of the incident charge, first quarter results includedadjusted income from railway operations of$1.1 billion and adjusted diluted earnings per share of $3.32 improvements of 1% and 13%, respectively, compared to first quarter 2022.
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