Attention all SMART-TD and BLET members! Tonight at 7:00 p.m. central standard time (8:00 p.m. EST), SMART-TD President Jeremy Ferguson and BLET President Dennis Pierce will be airing a joint interview on the Rails Tails & Trails YouTube channel, which can be viewed at the following link: https://youtu.be/6N9r6QIGqA8.

Presidents Ferguson and Pierce will be providing updates on recent developments with BNSF’s HiViz attendance policy, commentary on our national rail contract negotiations, and discussion of other important issues affecting members of both Unions. 

As additional information, beginning at 6:00 p.m. CST (7:00 p.m. EST), Rails Tails & Trails host Jon Chaffin will be doing a giveaway for supporters of his channel. All members are encouraged to tune in, subscribe to the channel, and leave your feedback in the comments section. We are looking forward to finding out if you think the interview is informational, and if you would like the presidents to join a future episode on the Rails Tails & Trails podcast. If so, please comment on which issues you would like to see them discuss. 

We thank you for your continued support as we work diligently to keep all members informed!

February 28, 2022 — By letter dated February 24, 2022, the rail bargaining coalition made up of the Brotherhood of Maintenance of Way Employes Division of the Teamsters Rail Conference and the Mechanical Division of the International Association of Sheet Metal, Air, Rail and Transportation Workers Union petitioned the National Mediation Board (NMB) for a proffer of arbitration, requesting to be released from further mediation sessions. If granted by the NMB, the proffer of arbitration is the next step in the process towards self-help and a potential Presidential Emergency Board to settle their contract dispute with the nation’s rail carriers.

The Coordinated Bargaining Coalition (CBC) unions, which are likewise in negotiations with the same rail carriers, support the BMWED/SMART Mechanical request to be released from mediation and agree that the parties are at an impasse and should be allowed to move the contract dispute to the next steps of the Railway Labor Act’s negotiation process. Although the CBC Unions are also in mediation with their next NMB-mediated bargaining session scheduled in March, the CBC made it clear to the NMB upon entering mediation that there is little, if any, hope of reaching a voluntary agreement in light of the rail carriers’ refusal to bargain in good faith with any of the rail unions. Therefore, the CBC fully expects to be making the same request for a release, and once all rail unions are released from mediation, the CBC will stand alongside the BMWED/SMART Mechanical Coalition through the final steps of the Railway Labor Act negotiation process to bring the bargaining round to a successful conclusion.

A copy of BMWED/SMART Mechanical’s February 23, 2022, letter to the National Mediation Board can be found by clicking here.


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.


4th Quarter 2021
Net Earnings: Increased 13% to $1.7 billion from $1.5 billion
Diluted Earnings Per Share: n/a – BNSF is not publicly traded
Revenue: Increased 11% to $6.3 billion from $5.7 billion
Operating Income: Increased 12% to $2.4 billion from $2.2 billion
Operating Expenses: Increased 10% to $3.9 billion from $3.5 billion
Operating Ratio: Improved to 60.0% from 60.3%


2021 Annual Earnings
Net Earnings: Increased 16% to $6.0 billion from $5.2 billion
Diluted Earnings Per Share: n/a – BNSF is not publicly traded
Revenue: Increased 12% to $23.3 billion from $20.9 billion
Operating Income: Increased 14% to $8.8 billion from $7.7 billion
Operating Expenses: Increased 10% to $14.5 billion from $13.1 billion
Operating Ratio: Improved to 60.9% from 61.6%
Read BNSF’s full earnings report.


4th Quarter 2021
Net Earnings: Increased 17% to C$1.20 billion from C$1.02 billion
Diluted Earnings Per Share: Increased 18% to $1.69 per share from $1.43 per share
Revenue: Increased 3% to C$3.75 billion from C$3.66 billion
Operating Income: Increased 11% to a record C$1.57 billion from C$1.41 billion
Operating Expenses: Decreased 1% to C$2.19 billion from C$2.25 billion
Operating Ratio: Improved 3.1 points to 58.3% from 61.4%

2021 Annual Earnings
Net Earnings: Increased 37% to C$4.90 billion from C$3.60 billion
Diluted Earnings Per Share: Increased 38% to $6.89 per share from $5.00 per share
Revenue: Increased 5% to C$14.48 billion from C$13.82 billion
Operating Income: Increased 18% to C$5.62 billion from C$4.78 billion
Operating Expenses: Decreased 2% to C$8.86 billion from C$9.04 billion
Operating Ratio: Improved 4.2 points to 61.2% from 65.4%
Read CN’s full earnings report.


4th Quarter 2021
Net Earnings: Decreased 34% to C$532 million from C$802 million
Diluted Earnings Per Share: Decreased 38% to $0.74 per share from $1.19 per share
Revenue: Increased 1% to C$2.04 billion from C$2.01 billion
Operating Income: Decreased 10% to C$832 million from C$928 million
Operating Expenses: Increased 11% to C$1.21 billion from C$1.08 billion
Operating Ratio: Worsened 530 basis points to 59.2% from 53.9%

2021 Annual Earnings
Net Earnings: Increased 17% to C$2.9 billion from C$2.44 billion
Diluted Earnings Per Share: Increased 16% to $4.18 per share from $3.59 per share
Revenue: Increased 4% to C$8.0 billion from C$7.71 billion
Operating Income: Decreased 3% to C$3.21 billion from C$3.31 billion
Operating Expenses: Increased 9% to C$4.80 billion from C$4.40 billion
Operating Ratio: Worsened 280 basis points to 59.9% from 57.1%
Read CP’s full earnings report.


4th Quarter 2021 
Net Earnings: Increased 23% to $934 million from $760 million
Earnings Per Share: Increased 27% to $0.42 per share from $0.33 per share
Revenue: Increased 21% to $3.43 billion from $2.83 billion
Operating Income: Increased 12% to $1.37 billion from $1.22 billion
Operating Expenses: Increased 28% to $2.1 billion from $1.6 billion
Operating Ratio: Worsened to 60.1% from 57.0%

2021 Annual Earnings
Net Earnings: Increased 37% to $3.8 billion from $2.8 billion
Earnings Per Share: Increased 40% to $1.68 per share from $1.20 per share
Revenue: Increased 18% to $12.52 billion from $10.58 billion
Operating Income: Increased 28% to $5.6 billion from $4.4 billion
Operating Expenses: Increased 11% to $6.9 billion from $6.2 billion
Operating Ratio: Improved to 55.3% from 58.8%
Read CSX’s full earnings report.


4th Quarter 2021
Net Earnings: Increased 258% to $595.1 million from $166.3 million
Earnings Per Share: On December 14, 2021, Canadian Pacific Railway acquired the outstanding common and preferred stock of KCS. Therefore, earnings per share data is not presented because the company does not have any outstanding or issued publicly traded stock.
Revenue: Increased 8% to $747.8 million from $693.4 million
Operating Income: Increased 209% to $810.6 million from $262.3 million
Operating Expenses: Decreased 115% to a negative $62.8 million from $431.1 million due to the merger
Operating Ratio: Improved 70.6 points to –8.4% from 62.2%

2021 Annual Earnings 
Net Earnings: Decreased 15% to $527 million from $619 million
Earnings Per Share: On December 14, 2021, Canadian Pacific Railway acquired the outstanding common and preferred stock of KCS. Therefore, earnings per share data is not presented because the company does not have any outstanding or issued publicly traded stock.
Revenue: Increased 12% to $2.95 billion from $2.63 billion
Operating Income: Decreased 12% to $884 million from $1.00 billion
Operating Expenses: Increased 27% to $2.06 billion from $1.63 billion
Operating Ratio: Worsened 8.1 points to 70.0% from 61.9%
Read KCS’s full earnings report.


4th Quarter 2021
Net Earnings: Increased 13% to $760 million from $671 million
Diluted Earnings Per Share: Increased 18% to $3.12 per share from $2.64 per share
Revenue: Increased 11% to $2.9 billion from $2.6 billion
Operating Income: Increased 15% to a 4th quarter record of $1.1 billion from $1.0 billion
Operating Expenses: Increased 8% to $1.7 billion from $1.59 billion
Operating Ratio: Improved 2% to a 4th quarter record 60.4% from 61.8%

2021 Annual Earnings 
Net Earnings: Increased 27% to $3 billion from $2 billion
Diluted Earnings Per Share: Increased 31% to $12.11 per share from $7.84 per share
Revenue: Increased 14% to $11.1 billion from $9.8 billion
Operating Income: Increased 28% to a record $4.4 billion from $3.0 billion
Operating Expenses: Decreased 1% to $6.7 billion from $6.8 billion
Operating Ratio: Improved 7% to an all-time record of 60.1% from 69.3%
Read NS’s full earnings report.

4th Quarter 2021 
Net Earnings: Increased 24% to $1.7 billion from $1.4 billion
Earnings Per Share: Increased 30% to $2.67 per share from $2.05 per share
Revenue: Increased 12% to $5.7 billion from $5.1 billion
Operating Income:  Increased 22% to $2.4 billion from $2.0 billion
Operating Expenses: Increased 5% to $3.3 billion from $3.1 billion
Operating Ratio: Improved 3.6 points to 57.4% from 61.0%

2021 Annual Earnings 
Net Earnings: Increased 22% to $6.5 billion from $5.3 billion
Earnings Per Share: Increased 26% to $9.98 per share from $7.90 per share
Revenue: Increased 12% to $21.8 billion from $19.5 billion
Operating Income: Increased 19% to $9.3 billion from $7.8 billion
Operating Expenses: Increased 7% to $12.5 billion from $11.7 billion
Operating Ratio: Improved 2.7 points to 57.2% from 59.9%

“The Union Pacific team concluded its most profitable year ever in 2021. We produced double-digit fourth-quarter revenue growth by leveraging our great rail franchise to generate positive business mix and core pricing gains,” UP CEO Lance Fritz said.
Read UP’s full earnings report.


Notes: 

  • Operating ratio is a railroad’s operating expenses expressed as a percentage of operating revenue, and is considered by economists to be the basic measure of carrier profitability. The lower the operating ratio, the more efficient the railroad.
  • All comparisons are made to 2020’s fourth-quarter and 2020 year-end results respectively for each railroad.
  • All figures for CN & CP are in Canadian currency, except for earnings per share.

The Federal Railroad Administration is asking T&E rail members of the SMART Transportation Division to participate in a wide-reaching survey of T&E personnel on the topic of fatigue.

Participants working in T&E roles in either passenger or freight service are highly encouraged to help FRA’s Office of Research, Development & Technology: Human Factors Division gather data via the 49-question survey.

“It’s an opportunity to provide any feedback about fatigue, work schedules and work/life balance,” FRA officials said.

Topics include typical work schedules over a period of days, weeks and months, members’ sleep cycles and their commute times, i.e. “the time (or distance) from home to work and vice versa, with ‘work’ referring to the location where crews start/finish their shift. ‘Home’ may also include away sites where crew members rest/sleep away from their personal home.”

Follow this link to participate in this important survey.

CLEVELAND, Ohio, (January 13, 2022) — Yesterday, members of the Transportation Division of the International Association of Sheet Metal, Air, Rail, and Transportation union (SMART-TD) and the Brotherhood of Locomotive Engineers and Trainmen (BLET) who work for the BNSF Railway initiated steps to go on strike following the railroad’s announcement of its so-called “Hi-Viz” attendance policy, which SMART-TD President Jeremy Ferguson and BLET National President Dennis Pierce called “the worst and most egregious attendance policy ever adopted by any rail carrier.”

Presidents Ferguson and Pierce said the impending policy, which BNSF plans to implement on February 1, repudiates numerous collectively bargained agreements currently in place throughout the BNSF system. It is so restrictive that employees would be penalized for missing work to attend the funeral of an immediate family member.

“This unprecedented BNSF policy repudiates direct and clear contract language and, in application, will attempt to force our members to report for duty without regard for their medical condition as we struggle to come out of a pandemic,” the presidents said. “It also stands to take away any ability by our members to avoid working fatigued when they are routinely called without warning due to the complete lack of reliable train lineups, thus creating the potential for an even more unsafe railroad operation. So-called ‘forced overtime’ in an industry where safety is so critical not only repudiates our agreements, it stands to enact irreparable harm on hundreds of full-time employees whose non-workplace obligations prevent them from being at work every day of their life.”

BNSF’s new Hi-Viz policy is a points-based system which penalizes employees — who in many cases have no assigned days off — any time they take time off work for practically any reason. In a FAQ that BNSF sent out to its employees, the carrier claimed that they “must improve crew availability to remain competitive in the industry” and that their revised Hi-Viz program helps with this issue “by incentivizing consistent and reliable attendance.” BNSF goes on to claim that a reduction in absenteeism will improve predictability of work assignments. However, the affected employees and their unions have made clear that they view BNSF’s approach to this issue as a juxtaposition. That is: if the carrier instead focused its efforts on predictable scheduling of assignments and competent management of its furloughed employees, there would be no need to impose such draconian attendance policies.

“Our members have simply had enough of the treatment they are enduring from the BNSF Railway,” President Ferguson and President Pierce said. “The Company’s half-baked attempt to characterize this policy as an ‘improvement’ and an ‘incentive’ is nothing short of disingenuous, and outright insulting. Although BNSF will not admit it, it has implemented so-called Precision Scheduled Railroading and is attempting to do more with less by intimidating our members, under threat of discipline and/or termination, into working additional shifts while they continue to furlough junior employees. Our members have worked tirelessly to keep goods moving during a global pandemic, but the railroad is once again placing monetary profits over people to appease shareholders and Wall Street. Our membership is tired, frustrated and fed up with the treatment they continue to receive. As is the growing trend among all major rail carriers, the working conditions at BNSF have deteriorated to the point that there are many tenured employees leaving the railroad industry because they can no longer tolerate the treatment that they must endure on a daily basis. This new attendance policy may be the tipping point for what may be the ‘great railroad resignation.’”

On January 12, President Ferguson and President Pierce gave permission to their organizations’ respective BNSF General Committees of Adjustment to begin polling their membership regarding a withdrawal from service over this major dispute. Under the SMART Constitution, the union’s leadership may authorize a strike after the affected General Chairpersons obtain two-thirds majority approval from the Local Chairpersons under their jurisdiction. Under BLET internal law, a majority of the membership at any given railroad, or their Local Chairmen, must vote in favor of a strike and the National President and the General Chairmen must approve the date for any withdrawal from service.

Collectively, the unions represent more than 17,000 active members at the BNSF.

###

The SMART Transportation Division is comprised of approximately 125,000 active and retired members of the former United Transportation Union, who work in a variety of crafts in the transportation industry.

The Brotherhood of Locomotive Engineers and Trainmen represents nearly 57,000 professional locomotive engineers and trainmen throughout the United States. The BLET is the founding member of the Rail Conference, International Brotherhood of Teamsters.

CLEVELAND, Ohio (January 7) — On January 6, the U.S. District Court for the Northern District of Illinois, Eastern Division, ruled against the 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), denying the unions’ preliminary injunction motions to stop Metra’s COVID-19 vaccine mandate.

The unions took the position that Metra had no authority to unilaterally implement and enforce a COVID vaccination mandate among its employees without the required bargaining pursuant to the Railway Labor Act (RLA). The unions contended that by failing to negotiate the terms of implementation, Metra violated the status quo requirement and, in turn, engaged in a major dispute. The court ruled in favor of Metra, finding the matter to be a minor dispute. The court also rejected the unions’ alternative argument that the mandate should be put on hold while the Adjustment Board decided the dispute.

SMART-TD and BLET are engaged in similar lawsuits to halt vaccination mandates on other rail carriers, including BNSF Railway (BNSF), Norfolk Southern (NS), and Union Pacific (UP).

“Needless to say we are disappointed in the outcome of this lawsuit, especially considering other federal judges blocked vaccine mandates,” SMART-TD President Jeremy Ferguson and BLET President Dennis Pierce said. “We will continue to fight to protect the rights of our members during these historically difficult times.”

Read the ruling.

###

The SMART Transportation Division is comprised of approximately 125,000 active and retired members of the former United Transportation Union, who work in a variety of crafts in the transportation industry.

The Brotherhood of Locomotive Engineers and Trainmen represents nearly 57,000 active and retired locomotive engineers and trainmen throughout the United States. The BLET is the founding member of the Rail Conference, International Brotherhood of Teamsters.