The strike could not legally begin until midnight on Thursday evening, September 15, but it’s time for panic across the United States as possible railroad paralysis looms. Amtrak, the public transportation company, canceled its long-distance routes like Seattle-Los Angeles starting Thursday, fearing its customers would be stuck in the countryside.
Some shipments of chemicals like ammonia and fertilizers to farmers are being suspended so they don’t have to leave these hazardous materials unattended. Those of oil from Canada or the Dakota plains are also under threat.
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Ten out of 12 unions representing 49,000 workers signed an agreement with the employers, but the rank and file of one of them rejected it. Above all, two drivers’ unions, which are supposed to carry the voice of 60,000 people, have not found a compromise after three years of negotiations. Failure to reach a full agreement before Thursday night could throw the entire sector into a strike.
“A National Disaster”
A conflict of this magnitude would be unprecedented since 1992 and a disappointment for the Joe Biden administration as midterm elections loom on November 8th. The paralysis of the railroads would stall the economy again while bottlenecks, particularly at ports, are beginning to be alleviated – that of Los Angeles has just a dozen container ships on standby, down from a hundred in January.
A strike would cost $2 billion a day, or 3 percent of gross domestic product, according to the American Railroad Association
Rail, which plays a minor role in passenger transport, plays a major role in the American economy: it is an essential link in the intermodal transport (sea, rail, truck) of containers as well as agricultural, petroleum and chemical products. Around 7,000 long-distance convoys, some with more than a hundred wagons and four locomotives, make their way across the country, connecting Los Angeles with Chicago or Savannah (Georgia) with Nashville (Tennessee). Traffic is handled by seven major private companies including CSX, Union Pacific and BNSF, 22 regional and nearly 600 local.
A strike would cost $2 billion a day, or 3% of gross domestic product, according to the Association of American Railways. The American Chamber of Commerce is anticipating “a national disaster,” while the Petroleum Producers’ Association fears “catastrophic” disruption.
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