Railroads, union reach tentative deal

Railroads, union reach tentative deal

	Published : Thu, 01 Mar 2007 00:10 By : Agencies Print this Story

WASHINGTON (AP) - After more than two years of negotiations, U.S. freight railroads on Wednesday reached a new labor agreement with unions representing about 66,000 workers.

The tentative contract, which would last through 2009, still needs to be ratified by union members, a process that could take two to three months.

Seven unions representing railroad employees -- including train dispatchers, engineers, track workers and signal workers -- reached the deal with 30 railroads, who negotiated together.

The unions said in a prepared statement that the pace of negotiations speeded up this year because they wanted to reach a deal rather than have the case heard before an emergency board appointed by President Bush.

George Francisco, who headed negotiations for the unions, said the negotiations were the first time in three decades that the unions had successfully joined together to bargain with railroads. In a prepared statement, he said the agreement 'proves the old adage that in unity there is strength.'

Railroad management also applauded the deal.

'We feel that this agreement...will certainly provide a pattern to resolve the rest of the round of bargaining' with other unions, said Joanna Moorhead, general counsel for the National Carriers' Conference Committee, a group representing railroads including Burlington Northern Santa Fe Corp., CSX Corp., Norfolk Southern Corp., Union Pacific Corp. and Kansas City Southern.

Details of the contract were not released.

Contracts have yet to be signed with six other railroad unions, including the largest one, the United Transportation Union, whose members include conductors and brakemen. Negotiations with that union reached an impasse on Feb. 1.

Shares of Burlington Northern rose 29 cents to close at $58.18 on the New York Stock Exchange, where shares of CSX rose 33 cents to close at $37.62 and shares of Norfolk Southern rose 7 cents to close at $47.42.

Also on the NYSE, shares of Union Pacific rose 59 cents to close at $98.58 and shares of Kansas City Southern rose 12 cents to close at $32.06.