Pattern bargaining is a foundational principle of Railway Labor Act negotiations. Once a pattern is set, adherence to the pattern promotes consistency for employees, operational certainty for carriers, and long-term stability for the industry.

In this round, dozens of national and local agreements with consistent terms established a pattern. The terms of the pattern provide a clear path for resolution of the national bargaining round by all remaining participants.

The Railway Labor Act (RLA) is a federal statute that has governed collective bargaining between freight railroads and rail labor organizations for nearly 100 years. Unlike agreements in most other industries, rail labor agreements under the RLA remain effective indefinitely until changed by mutual agreement. The RLA includes a structured process for good faith bargaining and safeguards designed to prevent service disruptions that could impact the U.S. economy.

The duration of the process can vary. Some agreements are reached quickly, while others may go through each stage of the RLA process. Our goal in this round is to reach timely, voluntary agreements that benefit all stakeholders.

“National” agreements between multiple freight railroads and a labor union typically address significant issues such as wages, health benefits and industry-wide work rules. These agreements are negotiated on a multi-employer basis and apply to all employees represented by the signatory carriers and union. “Local” agreements only apply to employees in one craft at a specific railroad (or even parts of a railroad) and usually address carrier-specific working conditions.

Under the RLA, collective bargaining agreements do not expire and instead have “reopener” dates. On and after those dates, parties can start new negotiations by exchanging “Section 6 notices,” so-named because the notices are issued pursuant to Section 6 of the RLA. These notices outline proposed contractual changes and mark the beginning of the collective bargaining process. While the negotiations move forward, the current contract remains in force.

Since the last round of national bargaining concluded in December 2022, America’s Class I freight railroads have continued collaborating with unions at the local level and reached more than 50 local agreements to provide individual paid sick days for employees who did not previously have them. Today, more than 97% of craft employees at NCCC carriers have access to individual paid sick days. Several carriers have also reached agreements with the operating crafts that give employees more predictable schedules than ever before.

Railroading has presented an opportunity for generations of Americans to turn a job into a lifelong career. The median tenure in the freight rail industry is three times longer than the private sector, with unionized rail employees having a median tenure of more than 13 years. By comparison, the median tenure for private sector workers is 4.1 years according to the U.S. Department of Labor.