Railroad Worker Negotiations Head off the Rails Over Paid Sick Leave

A standoff over paid sick leave between railroad companies and their third largest union is raising the prospect of a worker strike — and Christmastime economic disaster — even after the White House brokered a deal to avoid that fate.þþWhy it matters: It's a sign of the changed landscape for labor in the post-pandemic era that the state of the nation's economy now hangs on worker demands for a fairly basic benefit — paid time off for illness.þþEven though railroad unions were able to negotiate a substantial pay raise in their agreement, they say it doesn't address certain intolerable workplace conditions.þThere's anger among the rank and file over the companies' punitive scheduling systems, insiders tell Axios. During the pandemic, workloads became intolerable as the industry struggled with worker shortages, they said.þWorkers and industry observers emphasize that the railroad companies — including Union Pacific, CSX and Norfolk Southern — are seeing record profit margins of around 40%, mostly due to large cuts to headcount over the past several years. But workers say they haven't benefited.