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Billions in damage feared: US Congress passes law to avert rail strikes

Nicholas by Nicholas
December 1, 2022
in News
0
Billions in damage feared: US Congress passes law to avert rail strikes


Freight trains are handled with downtown Los Angeles in the background.
Image: Reuters

In the United States, Congress passed legislation to avert rail strikes. Unions had threatened because a previous agreement included no paid sick days.

Dhe American Congress has voted with a non-partisan majority for a draft law to avert another impending rail strike in freight traffic. After the House of Representatives, a majority in the Senate also voted in favor of the legal text on Thursday, which implements a preliminary wage agreement from September. A strike would have threatened from December 9th and could have paralyzed the logistics chains in the Christmas season.

The rail freight strike was initially averted at the last minute in mid-September with the provisional agreement. But not all unions agreed. Among other things, they were bothered by the fact that no paid sick leave was provided for in it. The House of Representatives also passed a second bill on Wednesday that would allow workers seven days of paid sick leave. However, this project did not get a majority in the Senate.

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A strike could have hit the US economy hard: Many important raw materials and food are transported by rail. Even a brief rail strike would disrupt supply for days. Given the weak economy and high inflation, a strike was considered dangerous and, according to industry estimates, could have cost one to two billion dollars a day.

  • Michaela Wiegel, Washington

  • Published/Updated:



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US President Joe Biden reacted with relief and promised to sign the law as soon as he had it. “Together, we saved this country a Christmas disaster in our grocery stores, in our workplaces, and in our communities,” he said. The economy was saved from a devastating standstill that would have harmed millions of people. The Democrat had previously called on the leaders of both parties in Congress to prevent a strike.

Tags: aversionbillions in damagecongressfreight transportrail strikeunionsUS Congress

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