Railroad discipline increases – DIPP can see you through 

January 22, 2025 – As we move through the annual slow season in railroading, SMART-TD has noticed a distinct spike in claims under our Discipline Income Protection Plan (DIPP). What once might have been a “discussion” or a “we both know I didn’t see that” moment is now being turned into something far more serious: 15 to 90 days in the penalty box without pay.

Make no mistake: this is a management strategy to cut payroll while business is slow. Management would rather issue discipline than plan for the annual slow season. Even when SMART-TD members follow every rule, subrule and regulation, discipline is rising.

Railroads are held accountable for furloughs but not discipline

The truth is, the Surface Transportation Board made it clear to the railroads: furloughs are a bad look. If the industry does furlough workers, they can’t blame manpower issues for their service failures. By targeting individual employees with performance-based discipline they can cut costs, while gaslighting their workforce instead of acknowledging their own lack of planning. It’s easier to take us out one at a time than to fight Uncle Sam and the media coverage that would come with a furlough.

Defense: arbitration and DIPP

Our union’s track record in arbitration clearly demonstrates that many of these charges are totally without merit. If you are the victim of unfair discipline, contact your chairperson so they can begin the process of securing your back pay. You may be without an income while the case moves through mediation, which is why DIPP income protection is important.

SMART-TD President Jeremy Ferguson, who also serves on the DIPP board of trustees, sums it up, “The bottom line is that DIPP is run by members for members, and moments like this is why we do it. Our work insurance shields our members when the railroads and transit agencies get out of line. We’ve increased the maximum daily benefit amount to $300. This equates to $4,200 per pay half, giving our members a much-needed financial cushion if and when they get put out of service, and we made it faster for changes in benefits to go into effect. We are 100% serious about protecting the quality of life for as many members as possible.”

DIPP is not operated to make a profit. Our program has the highest approval rate on claims in the industry, and we are doing everything we can to put money in your hands when you need it.

Faster approval for income protection

DIPP’s trustees have reduced the waiting period for increased benefit amounts from 90 days to 30 days. Given the rapid rise in members being taken out of service, Ferguson and the other trustees wanted to ensure that our members and their families receive the financial support they need as quickly as possible.

To all SMART-TD members: stay vigilant, stay professional, and know that SMART-TD is with you every step of the way.

For more information on SMART-TD’s DIPP plans and to sign up or adjust your premium, follow this link to our website.

DIPP INFORMATION