Attention freight rail members in national handling:
To further strengthen our PEB presentation, we are soliciting additional evidence regarding the restrictive and punitive measures carriers have used to punish employees who are attempting to look after their own health, and the actions taken by members to avoid such.
Specifically, we are requesting that members provide details surrounding any time where they felt they had to come to work ill and/or injured, in order to avoid potential discipline and loss of compensation. This includes any time where members may have neglected to care for their own personal health because of the Carriers’ policies.
Additionally, we ask that members share any stories where they have either been denied mark-offs to tend to their own personal health or marked off sick and were subsequently punished. These mark-off requests could have been to attend counseling sessions, routine medical appointments, and/or medical treatments; but must have been for the employee — not a family member or relative.
We want to show how these policies have harmed you and how having paid sick days to care for your own personal health, without retribution, would be a much-needed relief for T&E crews.
SMART Transportation Division (SMART-TD) would like to take a few moments to update the thousands of essential rail workers whom we proudly represent, the rail shippers and customers, as well as the public at large on the real status of labor negotiations and about the serious factual misrepresentations that the Association of American Railroads (AAR) and railroad representatives are stating as “FACT” surrounding the “railroad labor negotiations and the need to avert a network shutdown.” Their claims are simply not true.
Let me be clear, rail labor is NOT looking to strike or shut down the nation’s economy at the expense of everyone. We want and deserve a fair agreement for our members. We strongly believe that a Presidential Emergency Board (PEB) will help us to garner that without the necessity of a strike. This does not mean that we will not do what’s necessary to get a fair agreement, but rather we expect the Railway Labor Act (RLA) to do its job as it has in the past so that it does not come to that. We are fully prepared to act if the provisions of the RLA get to the point of self-help or strike.
I was present and testified with a full team of experts in front of the Surface Transportation Board (STB) on April 26th and 27th in Washington D.C., concerning the massive network disruptions, the negative effects of Precision Scheduled Railroading (PSR), and the pending supply chain collapse due to railroad mismanagement of their networks. Shippers don’t know when they will be serviced, and the workforce doesn’t know when we will be going to work. I was proud to testify to make it known that we fully support our customers’ efforts to have the reliable and consistent service that they not only deserve, but also contracted with the railroad(s) for. I made it clear then, and now do so once again, that we stand ready to do everything within our power to keep freight moving and to support this country’s supply chain and economy.
Much like the testimony delivered by the railroads and AAR at the STB hearings, again there’s a steady stream of lip service, half-truths and misleading innuendo trying to skew the truth about the status of negotiations. I would also note that, to date, the AAR has not put forth any data supporting the “fair” percentage wage increases they are proposing and “provide well-deserved compensation increases to our essential employees and are consistent with labor market benchmarks.” What they are purporting as fair is only fair in their eyes and obviously not seen as “fair” by their essential employees who are quitting their jobs in record numbers. I have been at the negotiating table. I have yet to see any fair proposals put forth by the carriers in three years of negotiations. The benchmarks they are using at the negotiating table were established well before the pandemic and inflation occurred. I would also cite the fact that due to the PSR scheme worker productivity is running at such a high level that it is literally about to snap like an overstretched cable or chain.
Assuredly, a 16% wage increase over five years is not acceptable by today’s benchmarks. The railroads’ plans to increase the employees’ share of healthcare costs to such a point that the raises become net-zero is not reflective of rail carriers’ record profits or of their desire to keep their “valued freight rail customers,” isolated from further network disruptions caused by lack of manpower. The proposed five-year increases also come below all standard cost of living metrics. The railroads these days are having a very difficult time attracting potential new employees because of their refusal to bargain in conjunction with today’s benchmarks, much in the same way that they refuse to acknowledge shippers’ need to have sufficient and reliable service in accordance with their common carrier obligations.
On multiple occasions, SMART-TD has stood up for shippers, while carriers lacked any interest in fixing the current shipping problems that worsen by the day. PSR is the reason. Everyone knows it. Legislation may be needed for a permanent fix to the problem, and I think that day is coming soon. The quickest fix is to stop the railroads from running such ridiculously long trains, which the current infrastructure can’t handle, and get back to basics now! Instead, they cajole shippers to help them save a few dollars of their record profits, wanting to tip the scales against the very people who do the work and who are chiefly responsible for getting the railroads their profits. This is appalling. By hanging the fear of service disruptions in front of the shippers, it would almost be comical if the current state of the supply chain situation were not so dire.
Meanwhile, the tales told by the mouthpieces of the carriers keep getting bigger and bigger. One such fish tale dangled in front of people mentions that labor seeks a 47% wage increase. Even the head of the National Railway Labor Conference can’t provide the evidence to document this whopper. The truth is the three biggest railroads at the negotiating table don’t want to part with ANY of their record profits, nor do they wish to reward the workers who have busted their asses for the last three years without a raise, to get them those record profits. The shareholders were rewarded with record buybacks of $10 billion. Where is the reward for the employees who are actually doing the back-breaking work to make those buybacks possible? With a stale contract that has been in effect since prior to inflation taking hold, the workers have nothing to show for their blood, sweat and tears, as well as the sacrifices they and their families have made.
Pouring on the risk and absurdity, the big 3 claim they wish to get a deal done given those “fair” proposals they’ve allegedly made. What they’re not telling everyone is that instead of negotiating with labor at the national table to get this deal done, they are instead more concerned with keeping up their mediation meetings in an attempt to get a crew-consist agreement completed to further reduce the rail workforce, thanks to the allegedly “fair” arbitrator selection process out of the previous National Mediation Board (NMB). Carriers again are attempting to go to one person occupying the cab of a freight train. (Their ultimate stated goal is zero crewmembers on trains frequently carrying hazardous freight.) Such a measure would put the safety of our communities at serious risk and the supply chain in dire jeopardy, more so than it is right now. Were carriers so concerned about a fair national agreement to stop service disruptions, one would think they would concentrate on the goal of a national agreement. Instead, carrier execs and their cronies are off for two weeks at a time trying to find a way to get rid of more employees rather than trying to come up with a fair and equitable agreement to keep the ones they now have. UNBELIEVEABLE, but not surprising!
Class 1 railroads are not just servicing their own greed and that of Wall Street, they are working against serving their own customers, their own workforce, the families of their employees, the communities they serve and the American economy. This strategy will net them those short-term monetary gains they desire at the expense of the long-term viability of the American supply chain, our national security and the long-term health of the national economy.
Lastly, I find it very offensive that the railroads, via the AAR, would reach out to the shippers to assist their efforts in advocating for so-called “fair-minded” arbitrators with rail industry experience to the Presidential Emergency Board (PEB) to help facilitate what they perceive to be a reasonable agreement and avoid network disruptions. We all know that getting a good contract for the workforce will not only stop the bleeding, but it will also help employee morale and keep the supply chain moving. Absent an enticing contract, the current workforce will continue to shrink and worsen the situation more than any other factors possibly could. I can’t stop my members from leaving the industry, but the railroads can by offering a truly fair and equitable agreement with wage increases, no changes to healthcare costs and predictable scheduling, among other asks.
To the rail customers: I urge you to respond to the AAR’s request by telling them that you support SMART-TD and labor as we have supported you. We have faith that the Railway Labor Act process will work just fine, much like it always has since 1934, and you should too. Don’t let yourselves “get railroaded” by the AAR. America’s Class 1 railroads are attempting to “railroad” customers, railroad employees, their families, and the American public, as a whole, and “attention must be paid.” Don’t listen to their propaganda. Do your research and look at the facts for what they are. I can assure you, if the carriers get what they are proposing, things will only get worse and it will be their own fault.
Sincerely,
Jeremy R. Ferguson President, Transportation Division
Robert Kevin Spragg, 59, passed away Monday, June 20, 2022. An active member of Local 1420 (Memphis, Tenn.) since August 1998, Spragg served as the local chairperson for LCA-001A (BNSF) since 2012 and as a delegate at the 2014 and 2019 conventions. He was a dedicated union man.
“Kevin worked over 25 years for BNSF Railway and was Local Yard Chairman of SMART-TD Union Local 1420, where he was regularly sought-after by his colleagues for guidance, advice, and a friendly, no B.S., humorous personality,” his obituary said.
In his downtime Brother Spragg loved entertaining family and friends, traveling and collecting antiques. He was also an avid New York Yankees fan and liked cooking, classic movies and yacht rock. He was known as a person who checked on and helped others.
Brother Spragg is survived by his wife, Georgia Cooper Spragg; his mother, Anita Spragg; brother, Steve Spragg (Paula); sons, Jesse Cooper (Lizzy), Ryan Spragg (Cindy), Tyler Spragg (Sydney); granddaughters, Molly Elizabeth Cooper and Allie Spragg; grandson, Ozzy Spragg; nephew Hunter Spragg; nieces, Sophie Townsend and Megan Rasberry; as well as a large extended family and friends.
A celebration of life will be held at Memphis Funeral Home, 5599 Poplar Ave., Memphis, TN on Saturday, June 25, from 1 to 4 p.m. The family requests that donations be made to St. Jude Children’s Research Hospital or to the World Wildlife Fund in lieu of flowers.
“Kevin has been active in Local 1420 for many years and will certainly be missed. Our thoughts and prayers are with Brother Spragg’s family,” GO 001 leadership said in a statement.
SMART-TD extends its heartfelt condolences to Brother Spragg’s family, friends, Local 1420 and to all who knew him.
The two-person crew bills introduced in New York state, Assembly Bill 1287B and Senate Bill 3953B, have passed both chambers of the state Legislature as of Tuesday, May 31. Both bills have been combined into Senate Bill 3953 and are now headed to the desk of Gov. Kathy Hochul (D) for signing.
The SMART-TD New York State Legislative Board urges all SMART members in the state to contact Governor Hochul and tell her to sign the two-person crew bill – Senate Bill 3953 — into law.
“We need our members to contact the governor’s office, urging her to sign the bill so we can wrap this effort up,” TD N.Y. State Legislative Director Sam Nasca said. “This is a big accomplishment, and a lot of effort went into this by a lot of members and others, which I want to offer my deepest thanks.”
Today we reflect on and honor the sacrifices made by all the men and women who have served in the United States Armed Forces. Without their protection, we would not be the country we are today, nor would we enjoy the freedoms that we do.
SMART-TD members honor the memory of veterans by placing flags on their graves.
As a veteran of the U.S. Army, I view this holiday with great respect and solemnity. As such, this union takes seriously the duty and obligation that we must show appreciation to members of the military — those on active duty, those who have retired and those who are no longer with us. We must remember and show gratitude for all they have done to defend our country, our nation’s constitution and our people as a whole. Their sacrifices must not go unnoticed nor be forgotten.
So as we all celebrate this Memorial Day, please take a moment to reflect on what this holiday really means. Remember to take the time to reflect on the memory of those whom we have lost in defense of our country and for those who currently serve.
As a reminder, our union has many resources for veterans available — please see the links below. As we continue into June, which is PTSD awareness month (National PTSD Awareness Day is June 27), be sure to take care of yourselves and seek out help or support if you need it. More information about PTSD and treatment options are available here.
If you are suffering from PTSD and think you may hurt yourself, please call the National Suicide Prevention Lifeline at 1-800-273-8255 to reach a trained counselor. Use that same number and press 1 to reach the Veterans Crisis Line.
A 1996 graduate of Marlington High School in Alliance, Ohio, Brother O’Brien was a member of the Louisville Baptist Temple, the Civil Air Patrol, the NRA and was a part of his high school wrestling team. He enjoyed skydiving, going to shooting ranges and spending time with his dog and family.
A 23-year member of CSX Local 1374, Brother O’Brien was both a certified conductor and engineer.
“I only knew Erik from some phone calls over the years, and he seemed to be a great person,” said GO 049 General Chairperson Rick Lee. “He was a loyal member of UTU/SMART.”
Brother O’Brien is survived by his parents, Daniel and Denise (Boyce) O’Brien; wife, Catherine (Welton); son, Caiden John O’Brien; brother, Shane (Jodi) O’Brien; as well as several nieces, nephews, aunts, uncles, cousins and friends. He was preceded in death by his paternal and maternal grandparents.
A visitation is scheduled Friday, May 27 at the Louisville Baptist Temple, 6565 Columbus Road NE, Louisville, OH 44641, from 4 p.m. to 7 p.m.. A funeral service will be held privately and he will be interred at Fairmount Memorial Park.
A fund has been set up for Erik’s son, Caiden, and checks may be made out and sent to the funeral home with the name Caiden O’Brien in the memo. The funeral home handling the fund is Cassaday-Turkle-Christian Funeral Home, 75 S. Union Ave., Alliance, Ohio 44601. Memorial contributions may also be made to the NRA, 11250 Waples Mill Road, Fairfax, VA 22030 or to Gideons International, P.O. Box 97251, Washington, D.C. 20090.
While waiting for a response to our recent request to the National Mediation Board that a proffer of arbitration be issued by the Board to move our contract dispute to the next level, CBC unions participated in two additional days of mediated bargaining sessions with NCCC this week.
Once again, the nation’s class 1 rail carriers showed just how far removed they are from the realities that their employees and shippers are experiencing. Without regard for the beating that these rail carriers took in front of the Surface Transportation Board a week ago, and ignoring their continued record profit reports, the rail carriers continue to advance proposals at the bargaining table that they have previously been told are unacceptable to the CBC Unions and our members.
Due to the NCCC’s refusal to negotiate a fair agreement in good faith, all CBC Unions again request that the NMB proffer arbitration to the parties to stop the endless delays by the rail carriers.
As we advised in January and April, we had hoped that the involvement of the NMB would cause the industry to refocus on addressing the legitimate needs of the men and women whose labor generates their positive financial returns. That has not happened, and there is no indication that it will without allowing the remaining steps of the Railway Labor Act to play out to compel a favorable settlement.
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The unions comprising the Coordinated Bargaining Coalition are: the American Train Dispatchers Association (ATDA); the Brotherhood of Locomotive Engineers and Trainmen / Teamsters Rail Conference (BLET); the Brotherhood of Railroad Signalmen (BRS); the International Association of Machinists (IAM); the International Brotherhood of Boilermakers (IBB); the National Conference of Firemen & Oilers/SEIU (NCFO); the International Brotherhood of Electrical Workers (IBEW); the Transport Workers Union of America (TWU); the Transportation Communications Union / IAM (TCU), including TCU’s Brotherhood Railway Carmen Division (BRC); and the Transportation Division of the International Association of Sheet Metal, Air, Rail, and Transportation Workers (SMART–TD). Collectively, the CBC unions represent more than 105,000 railroad workers covered by the various organizations’ national agreements, and comprise over 80% of the workforce who will be impacted by this round of negotiations.
SMART-TD, BLET protest outside of BNSF shareholder meeting in Omaha
The five highlighted areas are where protestors were allowed to congregate outside of the CHI Health Center where the BNSF shareholder’s meeting was being held.
While Berkshire Hathaway shareholders sat April 30 in comfort and national cable-news networks live-streamed and deified wealth hoarder Warren Buffett and his executive cronies at the company’s annual meeting, BNSF railroad workers, as always, were out in the elements doing the hard things – this time protesting.
Protesters gathered in the early-morning hours – some as early as 4 a.m. when the parking garages opened – to split up evenly to protest in five different areas outside of the CHI Health Center in Omaha, Neb. Doors opened to the shareholder meeting at 7 a.m., and the picketers wanted to be outside as the shareholders arrived. They were joined by two LED video billboard trucks slamming Buffett and BNSF CEO Katie Farmer for their Hi-Viz attendance policy.
LED video billboard trucks joined in the protest by driving in a loop around the health center to help gain attention for the picketers.
Carrying signs saying “They use us and abuse us,” “Fair wages, fair treatment,” and “Railroaders’ lives matter,” outside of the site of the so-called “Woodstock for Capitalists,” as members of the SMART Transportation Division, the Brotherhood of Locomotive Engineers and Trainmen (BLET), their respective auxiliaries and other members of rail labor mobilized in the rain outside CHI Health Center.
SMART-TD Auxiliary President Kathryn Seegmiller holds up signs outside of the meeting.
“We had a great turnout despite the weather. We were able to cross paths with I’d say around 90% of the participants that were walking into the building,” Alternate National Legislative Director Jared Cassity said of the around 60 protestors present.
“The crowd was fired up – it was divide and conquer. A very lively crowd,” said Vice President Chad Adams who joined in the two-hour protest.
Vice President Joe Lopez, Texas State Legislative Director Kamron Saunders, Colorado State Legislative Director Carl Smith, Missouri State Legislative Director Jason Hayden and New Mexico State Legislative Director Don Gallegos joined Adams, Cassity and SMART-TD Auxiliary President Kathryn Seegmiller at the protest.
Mobilizing our members as well were General Chairpersons Mike LaPresta (GO 001); Scott Swiatek (GO 009); and Luke Edington (GO 953).
“It was great seeing spouses and family involved in today’s protest showing their support,” Seegmiller said. “We want change and won’t be going away or backing down.”
Cassity echoed this sentiment saying, “It was great to see labor standing in solidarity, members shoulder-to-shoulder and fighting for what’s right for the membership. We’re taking the fight to the railroads and we’re not going to back down. The shareholders that were present at the meeting were there discussing the progress that they have made off of the backs of our members and it’s important that they understand that we won’t back down and we won’t go away until the right thing has been done.”
According to the Informational Protest – Omaha NE 2022 Facebook page, the picketers were regrouping and being joined by more supporters who could not make the morning session in the afternoon around 2:30 p.m.
Adams said that today’s movement is just the beginning.
“The group was talking about getting back together at the UP shareholders meeting next month – one thing builds another, just keep the pressure on and that’s what we can do,” he said.
According to the Facebook page, the group is in the early stages of planning another protest outside of the North American Rail Shippers Association annual meeting on May 9 – 11 in Kansas City, Mo., where CEOs from CP, BNSF and CSX are featured speakers.
Top left: A large crowd of SMART-TD and BLET members and their supporters gathered in solidarity. Top middle: Missouri SLD Jason Hayden (left) and National Safety Team Assistant Director Dan Bonawitz join in the protest. Top right: SMART-TD members come together in solidarity to picket. Middle left: Rallying speeches were made by leadership. Middle right: Picketers stand in the rain trying to get their message across to BNSF shareholders and the public. Bottom left: The rain did not deter picketers from getting their message across. Bottom middle: SMART-TD Vice President Chad Adams (left) and Texas SLD Kamron Saunders (second left) picket with SMART-TD members. Bottom right: BLET member Megan Lundy, BLET Vice President Rachel Pharris and SMART-TD Auxiliary President Kathryn Seegmiller band together for the first time to protest BNSF’s Hi-Viz attendance policy. Photos courtesy of VP Chad Adams and Auxiliary President Kathryn Seegmiller.
While railroad employees with less than 30 years of service may retire at age 62, their railroad retirement benefits are subject to early retirement (“age”) reductions if they retire before attaining their full retirement age.
The following questions and answers explain how full retirement age is determined, and how age reductions are applied to railroad retirement annuities.
1. How is full retirement age for a railroad employee with less than 30 years of service determined?
Full retirement age – the earliest age at which someone can begin receiving railroad retirement benefits that are not reduced for early retirement – is determined by the year a person was born. It has gradually increased since the year 2000, as a result of amendments to the Social Security Act which impacted railroad retirement annuitants and social security beneficiaries. Full retirement age for a railroad employee with less than 30 years of service is age 66 for those born in 1943 through 1954, and gradually increases to age 67 for those born in 1960, or later. (A chart listing employee birth years and the corresponding full retirement age is included in the answer to Question 2.)
2. Does the increase in full retirement age affect the computation of benefits reduced for early retirement?
Yes. The early retirement annuity reduction percentages applied to annuities awarded before full retirement age have increased. For employees retiring between age 62 and full retirement age with less than 30 years of service, the maximum reduction is 30% in 2022. Prior to 2000, the maximum reduction was 20%.
Age reduction percentages are applied separately to the tier I and tier II benefits of a railroad retirement annuity. The age reduction percentage is computed using the following formula: 1/180 for each of the first 36 months the employee is under full retirement age when his or her annuity begins, and 1/240 for each additional month (if any). This has resulted in the gradual increase in the annuity reduction percentage at age 62 to 30% for an employee, now that the full retirement age of age 67 is in effect. (See chart below.) However, if an employee had creditable railroad service before August 12, 1983, the retirement age for tier II purposes is age 65, and the tier II benefit will not be reduced beyond 20%.
The following chart shows the gradual increase in full retirement age and the corresponding increase in the age reduction percentages applied to the applicable employee annuities.
Employee Retires with Less than 30 Years of Service
Year of Birth*
Full Retirement Age**
Annuity Reduction at Age 62
1937 or earlier
65
20.00%
1938
65 and 2 months
20.833%
1939
65 and 4 months
21.667%
1940
65 and 6 months
22.50%
1941
65 and 8 months
23.333%
1942
65 and 10 months
24.167%
1943 through 1954
66
25.00%
1955
66 and 2 months
25.833%
1956
66 and 4 months
26.667%
1957
66 and 6 months
27.50%
1958
66 and 8 months
28.333%
1959
66 and 10 months
29.167%
1960 or later
67
30.00%
* A person attains a given age the day before his or her birthday. Consequently, someone born on January 1 is considered to have attained his or her given age on December 31 of the previous year. ** If an employee has less than 10 years of railroad service and is already entitled to an age-reduced social security benefit, the tier I reduction is based on the reduction applicable on the beginning date of the social security benefit, even if the employee is already of full retirement age on the beginning date of the railroad retirement annuity.
3. What are some examples of how age reductions are applied to the annuities of employees with less than 30 years of service who retire before attaining full retirement age?
Consider an employee who was born on March 2, 1960, and retired in 2022 at the age of 62. Assume this employee was eligible for monthly tier I and tier II benefits, before age reductions, of $1,800 and $1,200, respectively, for a total monthly annuity of $3,000.
Upon retirement at age 62, the employee’s tier I benefit and tier II benefit was reduced by 30.00%, the maximum age reduction applicable in 2022. This yielded a tier I amount of $1,260 and a tier II amount of $840, for a total monthly annuity of $2,100. However, if the employee had railroad service before August 12, 1983, the tier II amount would be subject to a maximum reduction of only 20%, providing a tier II amount of $960, and a total monthly annuity of $2,220.
As a second example, if the same employee had been born on March 2, 1959, and retired in 2022 at the age of 63, the employee’s tier I benefit and tier II benefit would be reduced by 24.167%. This would yield a tier I amount of $1,364.99 and a tier II amount of $910, for a total monthly annuity of $2,274.99. However, if the employee had railroad service before August 12, 1983, the tier II amount would be subject to a maximum reduction of only 20%, providing a tier II amount of $960, and a total monthly annuity of $2,324.99.
4. How are railroad retirement spouse benefits affected by these requirements?
If an employee retiring with less than 30 years of service is age 62, the employee’s spouse is also eligible for an annuity the first full month the spouse is age 62. However, early retirement reductions are applied to the spouse annuity if the spouse retires prior to her or his full retirement age.
Beginning in 2000, full retirement age for a spouse gradually began to rise to age 67, just as for an employee, depending on the spouse’s year of birth. While reduced spouse benefits are still payable at age 62, the maximum age reduction is 35% in 2022.
As with employee annuities, age reduction percentages are applied separately to the tier I and tier II benefits of a spouse annuity. However, the tier I reduction is 1/144 for each of the first 36 months the spouse is under full retirement age when her or his annuity begins, and 1/240 for each additional month (if any). This has resulted in a gradual increase in the annuity reduction percentage at age 62 to 35% for a spouse, now that the age 67 retirement age is in effect. (See chart below.) However, if an employee had any creditable railroad service prior to August 12, 1983, the spouse retirement age for tier II purposes is age 65 and the maximum age reduction percentage applied to tier II would only be 25%. Age reductions are not applied to spouse annuities based on the spouse’s caring for the employee’s child.
The following chart shows the gradual increase in full retirement age and the corresponding increase in the age reduction percentages applied to the applicable spouse annuities.
Spouse Age Reductions
Year of Birth*
Full Retirement Age**
Annuity Reduction at Age 62
1937 or earlier
65
25.00%
1938
65 and 2 months
25.833%
1939
65 and 4 months
26.667%
1940
65 and 6 months
27.50%
1941
65 and 8 months
28.333%
1942
65 and 10 months
29.167%
1943 through 1954
66
30.00%
1955
66 and 2 months
30.833%
1956
66 and 4 months
31.667%
1957
66 and 6 months
32.50%
1958
66 and 8 months
33.333%
1959
66 and 10 months
34.167%
1960 or later
67
35.00%
* A person attains a given age the day before her or his birthday. Consequently, someone born on January 1 is considered to have attained her or his given age on December 31 of the previous year. ** If the employee has less than 10 years of railroad service and the spouse is already entitled to an age-reduced social security benefit, the age reduction in her or his tier I will be based on the age reduction applicable on the beginning date of the spouse’s social security benefit, even if the spouse is already of full retirement age on the beginning date of her or his railroad retirement annuity.
5. What are some examples of how age reductions are applied to the annuities of the spouses of employees with less than 30 years of service whose spouses retire before full retirement age?
Consider the spouse of a railroader with less than 30 years of service, none of it prior to August 12, 1983, who was born on April 2, 1960, and is retiring in 2022 at age 62, with monthly tier I and tier II benefits, before any reductions for age, of $700 and $300, respectively, for a total monthly benefit of $1,000.
Upon retirement at age 62, the spouse’s tier I benefit and tier II benefit would be reduced by 35.00%, the maximum age reduction applicable in 2022. This would yield a tier I amount of $455 and a tier II amount of $195 for a total monthly annuity of $650. However, if the employee had any rail service before August 12, 1983, the tier II benefit would be subject to a maximum reduction of only 25%, providing a tier II amount of $225, and a total monthly annuity of $680.
As a second example, if the same spouse had been born on April 2, 1959, and retires in 2022 at age 63, the spouse’s tier I benefit and tier II benefit would be reduced by 29.167%. This would yield a tier I amount of $495.83 and a tier II amount of $212.50, for a total monthly annuity of $708.33. However, if the employee had any rail service before August 12, 1983, the tier II benefit would be subject to a maximum reduction of only 25%, providing a tier II amount of $225, and a total monthly annuity of $720.83.
6. Are age reductions applied to employee disability annuities?
Employee annuities based on disability are not subject to age reductions except for employees with less than 10 years of railroad service, but who have five years of service after 1995. Such employees may qualify for a tier I benefit before retirement age based on total disability, but only if they have a disability insured status (also called a “disability freeze”) under Social Security Act rules, counting both railroad retirement and social security-covered earnings. Unlike with a 10-year employee, a tier II benefit is not payable in these disability cases until the employee attains age 62. And, the employee’s tier II benefit will be reduced for early retirement in the same manner as the tier II benefit of an employee who retired at age 62 with less than 30 years of service.
7. Do these changes to full retirement age affect survivor benefits?
Yes. The eligibility age for a full widow(er)’s annuity has gradually risen, and is age 67 for those born in 1962, or later. A widow(er), surviving divorced spouse or remarried widow(er) whose annuity begins at full retirement age or later will generally receive an annuity unreduced for early retirement. (However, if the deceased employee received an annuity that was reduced for early retirement, a reduction would be applied to the tier I amount payable to his or her widow(er), surviving divorced spouse or remarried widow(er).) For widow(ers) who retire before attaining their full retirement age, the maximum age reduction percentages will vary, depending on the widow(er)’s date of birth, and is 20.36% for those born in 1962, or later. These age reductions apply to both tier I and tier II. For a surviving divorced spouse or remarried widow(er), the maximum age reduction is 28.5%. For a disabled widow(er), disabled surviving divorced spouse or disabled remarried widow(er), the maximum reduction is also 28.5%, even if the annuity begins at age 50.
8. Does the increase in full retirement age affect the age at which a person becomes eligible for Medicare benefits?
No. Although the age requirements for some unreduced railroad retirement benefits have risen just like the social security requirements, railroad retirement beneficiaries are still eligible for Medicare at age 65.
9. Do these increases in full retirement age also apply to the earnings limitations and work deductions governing benefit payments to annuitants who work after retirement?
Like social security benefits, railroad retirement tier I benefits paid to employees and spouses, and tier I and tier II benefits paid to survivors, are subject to deductions if an annuitant’s earnings exceed certain exempt amounts. These earnings limitations and work deductions apply to all age and service annuitants and spouses under full retirement age regardless of the employee’s years of service. Although employees retiring at age 60 with 30 years of service have no age reduction, these earnings limitations and work deductions still apply until they reach their full retirement age, which, like other employees, is determined by the year they were born. These earnings limitations also apply to survivor annuitants, with the exception of disabled widow(er)s under age 60 and disabled children.
Likewise, while special earnings restrictions apply to employees entitled to disability annuities, these disability earnings restrictions cease upon a disabled employee annuitant’s attainment of full retirement age. This transition is effective no earlier than full retirement age even if the annuitant had 30 years of railroad service.
The additional deductions applied to the annuities of retired employees and spouses who work for their last pre-retirement nonrailroad employer continue to apply after the attainment of full retirement age.
10. How can individuals get more information about railroad retirement age reductions?
Individuals with questions about railroad retirement age reductions can send a secure message to their local RRB office by accessing Field Office Locator at RRB.gov and clicking on the link at the bottom of their local office’s page. If a customer needs to talk to an RRB representative, they can call the agency’s toll-free number (1-877-772-5772) between the hours of 9 a.m. and 3 p.m. each weekday, except on federal holidays. However, customers are asked to be patient because of the increase in call volume due to the closure to the public of RRB offices during the COVID-19 pandemic.
FTA has not yet implemented worker safety provisions in the Bipartisan Infrastructure Law.
WASHINGTON – Today, 20 labor organizations representing transit drivers and other transportation workers urged Secretary of Transportation Pete Buttigieg and Federal Transit Administration (FTA) Administrator Nuria Fernandez to immediately implement the safety provisions in the Bipartisan Infrastructure Law (BIL) to protect transit workers from assault.
Four months after the passage of the BIL, the FTA has yet to implement these safety provisions. Meanwhile, transit workers continue to face danger on the job.
Assaults against transit workers have long been a concern but dramatically increased during the last three years of the pandemic, as did assaults on other frontline transportation workers like airline and airport workers.
Labor unions representing frontline transit employees have responded to this crisis over the years through legislative and regulatory measures, most recently securing several provisions in the BIL to protect transit workers.
Because of the BIL, the FTA is now statutorily required to collect accurate data on transit workforce assaults, to reform its Public Transportation Agency Safety Plan (PTASP) process to include worker voices and incorporate measures to reduce the risk of assault in every transit system, and to update its national safety plan to address the risk of assault and public health concerns.
The unions wrote: “Our members include bus and rail transit operators, station agents, car cleaners, mechanics and other frontline workers, all of whom are at risk of assault and worse each day they arrive at work. President Biden committed to protecting these workers and that promise was enshrined into law as part of the BIL. Before, and particularly during the COVID19 pandemic, these workers have laid their lives on the line every day to ensure Americans have access to safe, reliable transportation, and we must not turn our backs on them another day.”
Signers of the letter include the Transportation Trades Department of the AFL-CIO (TTD) and the nation’s largest transit unions, including the Amalgamated Transit Union (ATU), Transport Workers Union of America (TWU), International Association of Sheet Metal, Air, Rail and Transportation Workers–Transportation Division (SMART-TD), International Brotherhood of Teamsters (IBT), and Transportation Communications Union/IAM (TCU).
The letter was also signed by the following unions: Air Line Pilots Association (ALPA), American Federation of State, County and Municipal Employees (AFSCME), American Train Dispatchers Association (ATDA), Association of Flight Attendants–CWA (AFA), Brotherhood of Maintenance of Way Employes–IBT (BMWED), Brotherhood of Railroad Signalmen (BRS), International Association of Machinists and Aerospace Workers (IAMAW), International Brotherhood of Boilermakers (IBB), International Longshoremen’s Association (ILA), International Organization of Masters, Mates & Pilots (IOMM&P), International Union of Painters and Allied Trades (IUPAT), National Conference of Firemen & Oilers, SEIU (NCFO), Office and Professional Employees International Union (OPEIU), and Professional Aviation Safety Specialists (PASS).
