There is a large portion of the nation’s logistics moves by rails, if this strike becomes inevitable this will halt the normal progression of rail shipments. Rail workers are requesting more quality-of-life provisions to be put into place. They are looking for this new contract to cover attendance policies, vacation and sick days because they want to feel safe in taking those days without the pulsing fear of being fired. If the contract is presented as is and the Presidential Emergency Board cannot sway the unions minds by making recommendations that will be agreeable on, then the strike may last longer than we want.
What does this mean for freight and logistics? This will inevitably slow down many long distance less than truckloads and container movements while making over the road costs skyrocket. We foresee many delays in receiving freight in a timely manner if serviced over the rail and inflex of cost if shipments are forced to go over the road. Rail services already have been worsening by the declining of employees, so what is next if the strike comes to fruition?