USA: The prospect of two strike dates in December is still up in the air, and the strike preparation calendar for rail operators, passengers and logistics managers is still in flux.
On 5 December, both the Brotherhood of Railroad Signalmen and BMWWED, the Brotherhood of Maintenance Workers they represent, are scheduled to go on strike (BRS).
However, BMWWED said that if one of the larger unions—the Brotherhood of Locomotive Engineers and Trainmen (BLET) or the Transportation Division of the International Association of Sheet Metal, Air, Rail and Transport Workers (SMART-TD)—did not ratify the provisional labor agreement voted to do. These crucial votes will be made public on Monday.
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However, unlike BMWD, the BRS has not said whether it will extend its deadline for talks. Like BMWWED, the BRS has the option to go on strike after the cooling-off period ends on December 4.
The BRS did not respond to CNBC's repeated requests for information on the status of its talks and whether it was looking to align with other unions.
According to federal safety regulations, rail carriers must begin preparing for a strike seven days before the strike date. In rail closures, carriers begin to prioritize the transportation of safety-sensitive materials such as hazardous materials and chlorine for drinking water.
Transportation of chemicals is not carried out 96 hours prior to the strike date. The American Chemistry Council reports that during the week of September 10, when the railroad stopped accepting shipments because of the threat of a strike, 1,975 carloads of chemical shipments were lost.
When the final votes are in place and if the BRS cooling-off period changes, the Association of American Railroads is expected to announce its planning steps, as announced in September.
Complex situation, which affects GDP growth, inflation and the U.S. economy. poses a significant risk to the economy, broken down in terms of how it could develop over the next few days and weeks.
The cooling-off period clock would be reset to 8 December and strikes could begin on 9 December if one of the two unions voted against ratification on Monday. After this BLET, Smart-TD and BMWD will be interconnected. But if the BRS does not adjust its schedule to coincide with other unions, the strike will begin on 5 December.
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In accordance with the September strike preparation rules, preparations for the December 5 strike are expected to begin on November 28, the day the Senate returns from its Thanksgiving recess. Will return to House Hill on November 29.
Several trade unions have urged the Congress to act to avert the strike as it has the power to do so under the Railway Labor Act.
If the BRS decides to join BMWWED and extend its cooling-off period to coincide with the larger union's schedule, preparations for the strike will begin on 1 December.
BMWED and BRS may go on strike on 5 December if the BLET and SMART-TD unions approve the provisional agreement. The difference between four days may seem insignificant, but there is a need to plan for alternative logistics for rail-bound products.
A UPS spokesperson told CNBC, "We encourage a prompt resolution that is beneficial to all parties and we believe a settlement can be reached." A rail strike would have unnecessary negative effects on the American consumer and the economy. UPS will flex its integrated smart logistics network to better serve its customers.
The National Retail Federation is still concerned about the prospect of a rail strike in the coming weeks, citing supply chain disruptions that will add to inflationary pressures, according to John Gould, vice president for supply chain and customs policy.
According to Gold, a rail strike in December could impact shipments of holiday goods as well as spring merchandise that retailers have already begun to receive. “We look forward to a peaceful resolution to the contract dispute between the freight railroad and the railroad labor unions. Otherwise, Congress needs to act immediately to prevent disruption.
According to a recent economic analysis by the American Chemistry Council, weekly shipments of chemicals worth $2.8 billion would be affected by the rail strike, and a one-month strike would result in an overall economic loss of $160 billion, or one percentage point of GDP. . as well as a 4% increase in the producer price index, a key measure of inflation.
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ACC is one of the organizations requesting Congress to intervene and seek settlement under the Railway Labor Act.