Since BNSF has benefitted from UP’s practices and attitude for many years, I don’t think they are pruning their tree. There has been talk going around that we need to start regaining business. There have been some changes made the last year or so, but just when it seems that real change is beginning they come up with some new cost cutting measure. One step forward, two steps back.
I’d like to think that maybe Omaha has finally realized that they need more business. They may have finally realized that they can’t squeeze more pennies out of each dollar, so they need to bring in more dollars. If an e-mail sent to management is true, this may be the case.
Around the first part of last year BNSF offered the UP 8 coal contracts. They were having trouble servicing those contracts due to capacity constraights. UP said they wouldn’t take them at the price BNSF negotiated for them. Many, including local management, thought that was short sighted as our traffic was way down at the time. This was before Covid started affecting traffic levels.
Even if they get new business - who is going to move it?
With many companies paying higher wages (and having 100% better working hours)- it’s going to be tough to get new conductors.
They have a hard enough time hiring trainees here, and even harder time keeping them from quitting right away. Railroad wages (and def’n working conditions) are not keeping up.
Well, UP might have been right. BNSF could then turn around back to the client and state they offered the contract to a competitor and it was declined. Wouldn’t that be a good opening renegotiating position?
I’ve done that before myself. I was told I was not working hard enough at selling something and offered to sell the item for $1 for anyone that wanted it within 45 days of the offer. Nobody took it because the product I was selling sucked. Lots of lookers though. I could then go back to the supplier of the product with the scenario and say…look, nobody would buy it for $1. Which stopped the accusations I was not trying hard enough and realization there wasn’t a market.
I agree about Swift. I think BNSF is pruning its IM network by dumping low paying contracts as they come up for expiration. They have the top dogs JBH and Schneider.
Since BNSF has benefitted from UP’s practices and attitude for many years, I don’t think they are pruning their tree. There has been talk going around that we need to start regaining business. There have been some changes made the last year or so, but just when it seems that real change is beginning they come up with some new cost cutting measure. One step forward, two steps back.
I’d like to think that maybe Omaha has finally realized that they need more business. They may have finally realized that they can’t squeeze more pennies out of each dollar, so they need to bring in more dollars. If an e-mail sent to management is true, this may be the case.
Around the first part of last year BNSF offered the UP 8 coal contracts. They were having trouble servicing those contracts due to capacity constraights. UP said they wouldn’t take them at the price BNSF negotiated for them. Many, including local management, thought that was short sighted as our traffic was way down at the time. This was before Covid started affecting traffic levels.
Swift was never a big contract for BNSF. It might be about capacity. However if BNSF is looking to increase margins on the IM side of its business then letting it jettison was the right choice. This future available capacity could now be filled with more; Estes, ABF, YRC, JBH, Schneider, and/or Amazon business which brings more to the bottom line.
I agree about Swift. I think BNSF is pruning its IM network by dumping low paying contracts as they come up for expiration. They have the top dogs JBH and Schneider.
Since BNSF has benefitted from UP’s practices and attitude for many years, I don’t think they are pruning their tree. There has been talk going around that we need to start regaining business. There have been some changes made the last year or so, but just when it seems that real change is beginning they come up with some new cost cutting measure. One step forward, two steps back.
I’d like to think that maybe Omaha has finally realized that they need more business. They may have finally realized that they can’t squeeze more pennies out of each dollar, so they need to bring in more dollars. If an e-mail sent to management is true, this may be the case.
Around the first part of last year BNSF offered the UP 8 coal contracts. They were having trouble servicing those contracts due to capacity constraights. UP said they wouldn’t take them at the price BNSF negotiated for them. Many, including local management, thought that was short sighted as our
I can’t argue about the working conditions, especially with the PSR mindset that all the worker bees need to work all the time. But when it comes to pay, there aren’t many places that still pay as good as the class ones. Even some of the regionals and short lines pay good.
What’s keeping people away from coming back when recalled or not hiring out in the first place is the attitude of furloughing people at the drop of a hat. By the time they get someone “fully” trained, they furlough them because the extreme need has subsided. Instead of temporarily putting helpers on certain assignments that could really use an extra person, they cut them off. Expecting that they will come back when really needed again.
I was always told years ago, expect to be furloughed the first 5 or 6 years. As time went past, the lengths of time cut off would become shorter. That was back when most new hires were within a few years out of high school and didn’t have established a family to support. (35 was the age limit for hiring out with no railroad experience, 45 with railroad experience. Depending on craft being hired for.) Now they want to hire family people, with a few years of either college or work experience, because they tend to be more stable. That conflicts with someone who could weather a furlough by picking up small jobs here or there. If you find a decent job, do you leave it hopin
The age limits for recruiting for the military is so you can put in enough time to earn a decent pension before you retire vs being put out on the street at 55 or 60 with a tiny pension payment that you can’t live on. Presume the railroads do it for the same reason. Also the physical demands of the job favor the younger age groups vs the older age groups. The
The situation described inthe GM/UAW example would be similar to operating personnel being assigned to shopcraft positions instead of being laid off. That isn’t likely to happen anytime soon since it would require negotiations among several unions.
My late father worked for GM at their Michigan Proving Grounds. Most GMPG jobs were non-union.
He was assigned to do some work, I believe for a demonstration of some sort, at GM’s Tech Center in Warren. As he told the story, when his crew went to plug something into an outlet, they were informed that it was a union function, so they’d need the appropriate craft to do the task…
I have to say the Tech Center was pretty cool and that was the first I saw a 3D printer in operation back in 1993-94. Used to print parts for concept cars long before the technology was generally known to the public.
I agree UP doesn’t just pick up business BNSF doesn’t want. Rationally I wouldn’t say it’s sour grapes. I’ll put a few things into perspective.
SWIFT was never a priority for BNSF. That priority went to JBH, Schneider, and other who’s contracts came with much higher volume commitments, better graduated rate increases, etc… SWIFT IM’s major lane is the I-5 Corridor from Southern California to Portland, OR. BNSF plays second fiddle to UP in this lane. Even though both have slow transit times compared to OTR due to terrain, etc… The UP routing is faster, and enjoys less mileage between the two C1’s. BNSF recognizes this. Nor has BNSF shown any interest in expanding current IM serivce in this lane.
SWIFT traffic in routes BNSF dominates-LA-CHI, CHI-SEA-PTL is much lower in volume compared to JBH, Schneider, etc. BNSF didn’t put up a fight to retain the contract. They gave the terms as is. More of a take it or leave it situation. SWIFT went to UP for a few reasons; Traffic is growing in the Texas-West Coast market, as well UP’s better I-5 corridor, and Texas routes to the West Coast. SWIFT wants to grow it’s IM traffic and sees UP as a way to do this. However they will be competing for capacity with HUB Group UP’s prime IM contract. UP has also stated it will not create any new train starts. It will increase train length even further.
When I said pruning it’s IM network I looked at a few things. One was not renewing the HMM contr
Maybe around where you live, but here, it isn’t that hard, esp with conductors. And with the step rate BS, it’s even worse. But even the pay isn’t worth half the aggravation anymore.
The railroads USED to have an age limit. I recently worked with a guy who’s 68 and hired out about 5 or 6 years ago. I know there were others who’ve hired out post 60. None had previous railroad experience. Most are gone, victims of past slow downs and furloughs.
Railroad Retirement may have had something to do with it, the time needed to become vested has been shortened, but it may have been more of a physical thing. Before the late 1960s/early 1970s you couldn’t hire out if you needed to wear eye glasses at any age. If your eye sight deteriorated that you needed them once you were working , that was OK.
Some union contracts called for mandatory retirement on the last day of your b
It mentions lengthening sidings on the Golden State Route. I know they have been working on extending some of the sidings already. I forget what the new lengths are supposed to be.
The Rock Island on their portion between Herington KS and Tucumcari NM, extended sidings in the late 1960s. (Topeka to Herington was double track, Kansas City to Topeka was over UP double track. SP/SSW took up the former RI double track, replaced with CTC and sidings.) The siding program of the 60s resulted in a 9000 ft siding about every 17 or so miles.
Until about 10 or 12 years ago, 9000 ft was a big train. Even on double tracked lines. Not anymore.
I drove from the Black Hills in SD to the Twin Cities on July 10. The route from I-90 at Worthington MN to the Twin Cities parallels the UP former Omaha Road all the way. Just south of Brewster MN there was a northbound unit grain train in the siding (with a Ferromex SD70ACe in the 3-unit power consist) waiting for a meet with an approaching southbound manifest.
The southbound manifest had a decent cut of 10 wells of Kenny Rocker’s double-stacked Minneapolis intermodal just behind the power.
It is the first time I have seen doublestacks on the Omaha Road.
They do a sort of directional traffic with some trains going to the Twin Cities. The MNPSS usually goes east across Iowa on the exCNW then heads north on the exRI. The MSSNP usually comes south on the exOmaha/CNW route to California Jct then heads west.
There’s a manifest that originates in Council Bluffs that seems to be routed via Boone/Mason City for awhile, then goes via Sioux City IA/St. James MN.
We signed an interdivisional agreement a few years ago that would allow a Boone crew to run through Mason City to South St. Paul. They could then be ran back south via either route, to Mason City/Boone or to Sioux City. If they tied up at Sioux City they would have to be deadheaded on home to Boone. They ran one Boone crew to S.St.Paul, with a pilot crew north of Mason City. They have ran a few S.St.Paul crews to Des Moines or Boone, then I believe they deadheaded them back north. Outside of those tests, it hasn’t been put into effect because most trains couldn’t make it over both crew districts within 12 hours. So no one’s really qualified to actually do it without pilots.