Union Pacific freezes freight rail embargoes after federal scrutinization
And so the saga continues.
The Surface Transportation Board, a federal oversight board that analyzes transportation service levels, is scrutinizing the Union Pacific Railroad’s controversial embargo use. This comes on the heels of railroad unions pointing to the embargoes as a reason for their concerns about labor policy in the industry.
The Union Pacific Railroad is a Class I freight railroad that primarily transports freight and cargo, covering 23 states in the western two-thirds of the United States. With over 32,000 miles of track that serves cities such as Denver, Los Angeles, and New Orleans, the railroad is responsible for a massive amount of cargo transported throughout the United States. The embargoes in question are a method used to control - and possibly manipulate - freight rail traffic. STB chairman Martin Oberman and Union Pacific CEO Lance Fritz are currently in talks over the embargo use.
The Teamsters Canada Rail Conference (TCRC) has issued a 72-hour strike notice to Canadian Pacific Kansas City (CPKC), planning to strike on August 22 if no labor agreement is reached.