After slashing 33% of workers in 6 years, railroads complain about “labor shortage” amid uproar over slow shipments

(Source: Wolf Street, July 22, 2021)

NEW YORK — Over the past six years, the Class 1 railroads have axed 33% of their workers through layoffs and attrition. According to the Surface of Transportation Board (STB), the Class 1 railroads slashed their headcount from 174,000 workers in April 2015 to 116,000 workers in June 2021. The results of efforts to hire people back this year are barely visible. Turns out, it’s a lot easier to cut workers than it is to suddenly hire workers.

“No way did I or anybody else in the last six months realize how difficult it was going to be to try and get people to come to work these days,” said CSX CEO James Foote during CSX’s earnings conference call for the second quarter of 2021.

Full story: Wolf Street

Friday, July 23, 2021