Nine out of twelve unions have now ratified national pattern agreements in the 2025 bargaining round
Arlington, Va. (April 30, 2025) – The National Carriers Conference Committee (NCCC) today announced that members of the International Association of Machinists (IAM) have voted to ratify a national collective bargaining agreement. IAM is the ninth union to finalize and obtain membership approval of a national contract in the 2025 bargaining round. With this ratification, almost half of the union-represented freight rail employees at railroads participating in national handling are now covered by a ratified or pending collective bargaining agreement that follows the industry-wide pattern.
“The successful ratification of this agreement by IAM-represented employees marks a continuation of the great progress and strong collaboration we’ve seen in this bargaining round,” said Jeff Rodgers, chairman of the NRLC and the NCCC. “We are grateful to IAM’s leadership for their partnership in reaching an agreement that delivers gains for their members and strengthens the industry’s future.”
The ratified IAM agreement follows the pattern set by dozens of local and national agreements ratified as part of the 2025 bargaining round.
The terms of these pattern agreements provide:
- Wage increases of 18.8% over five years. Based on current inflation projections, this increase will translate to real wage growth for covered railroaders, along with pay certainty for the life of the contract.
- Enhancements to world-class health and welfare benefits with no increase to the employee contribution rate. Employees’ 2025 health care premiums have decreased to about $277/month, well below the national average of more than $500/month for employer-provided family coverage.
- Access to more paid vacation time for employees earlier in their careers.
Continued Momentum in National Bargaining
IAM members join employees represented by IBEW, BMWED, SMART-MD, ATDA, NCFO, TCU, BRC and IBB in approving a total of nine national collective bargaining agreements covering the period through December 31, 2029.
Since the exchange of Section 6 notices on Nov. 1, 2024, the 2025 bargaining round has seen historic collaboration between freight rail carriers and unions. Early local agreements set the stage for this momentum, establishing a clear pattern that prioritizes employee needs while strengthening the freight rail industry’s ability to provide safe, reliable service.
The 18.8% wage increase in these pattern agreements builds on the historic 24% wage increase from the 2022 bargaining round. Taken together, these wage increases represent a nearly 50% (compounded) wage increase for covered employees between 2020 and 2029.
Additional information about the status of the bargaining round is available at RailNegotiations.com.
About the National Railway Labor Conference
The National Railway Labor Conference (NRLC) is an association representing all U.S. Class I freight railroads and many smaller freight and passenger lines. Through its NCCC, the NRLC leads national negotiations with the 12 major rail labor organizations.
