William “Larry” Foster, a SMART Transportation Division Alumni Association member and retiree from Local 226 (Moberly, Mo.) who proudly served our union as Missouri’s state legislative director for the better part of two decades, passed away May 4 at his home. He was 80.

Foster

Foster began as state legislative director in April 1992 and was re-elected to multiple terms leading the state legislative board until his retirement in 2008. He also worked as a conductor for Norfolk Southern.

“Larry was the one early on in my railroad career that got me interested in our legislative department and helped guide me as a new legislative representative and executive board member until his retirement in 2008,” said current Missouri State Legislative Director Jason Hayden (Local 1405, St. Louis, Mo.). “His legacy and imprint on this board will never be forgotten, and he will be dearly missed.”

A U.S. Army veteran, having served from 1959-68, Brother Foster was a member of the Moberly Masonic Lodge and the Sweet Springs Baptist Church.

He is survived by his wife of 53 years, Linda; daughters Lori Barrier (Ronnie) and Toni Stock, four grandchildren and six great-grandchildren.

A visitation is planned 4 to 6 p.m. Monday, May 9, 2022, at the Cater Funeral Home Chapel, 1520 E. Rollins, Moberly, MO 65270. Funeral services will be 11 a.m. Tuesday, May 10, 2022, at Cater Funeral Home Chapel with burial following in Memorial Park Cemetery.

SMART Transportation Division offers its condolences to Brother Foster’s family, friends and the union brothers and sisters in Missouri who mourn his passing.

Follow this link to view Foster’s official obituary and to leave condolences for the family.

Effective April 25, 2022, the U.S. Railroad Retirement Board (RRB) is offering in-person appointments at its nationwide network of 53 field offices.

Individuals can schedule appointments by calling the agency’s toll-free telephone number, (877) 772-5772, and speaking to a representative. If they experience a lengthy wait time on this call, they may be given the option of receiving a return call, although this feature is not available at all times due to large call volume. RRB representatives are available between 9 a.m. and 3 p.m. each weekday, except for Federal holidays. For planning purposes, please note that the agency’s busiest times are early in the week and during the first part of each month.

Customers can also reach out to individual offices by mail or fax, as well as by sending a secure message using the link on each field office’s web page at RRB.gov. Using the “Field Office Locator” tab at the top of the home page allows someone to access each office’s web page and contact information.

While most business with the RRB does not require in-person service, but can be handled by telephone or in writing, the agency has also added secure lockboxes or door slots at the office entrances for customer convenience. These can be used if someone needs to quickly drop off documents without needing to communicate with a representative and will be checked on a daily basis.

Other options for obtaining services 24 hours a day without the need to talk to an agency representative include the automated menus available through the toll-free number and the myRRB system on the agency website. The following services are accessible through these avenues.

  • Letters verifying retirement/survivor benefit rates;
  • Service and compensation statement;
  • Replacement Medicare card;
  • Duplicate most recent tax statement (1099, 1099-R);
  • General benefit information;
  • Unemployment/sickness benefit application/claim status and payment information; and
  • RRB field office addresses.

For certain automated phone services, an individual’s social security number and/or railroad retirement claim number are required. In addition, for certain unemployment or sickness application/claim information, a person must provide their social security number and the benefit PIN printed on the back of the provided claim form.

Railroad employees who have established a myRRB account can login and complete the following actions:

  • Apply for and claim unemployment benefits;
  • Claim sickness benefits;
  • Check the status of their unemployment or sickness benefit claims;
  •  View their railroad service and compensation history; and
  • Get an estimate of retirement benefits.

RRB offices have been closed to the public since March 16, 2020, three days after the coronavirus pandemic was declared a national emergency. Since that time, services have been limited to telephone and electronic communication, with agency employees continuing to process benefit applications and incoming mail.

While railroad employees with less than 30 years of service may retire at age 62, their railroad retirement benefits are subject to early retirement (“age”) reductions if they retire before attaining their full retirement age.

The following questions and answers explain how full retirement age is determined, and how age reductions are applied to railroad retirement annuities.

1. How is full retirement age for a railroad employee with less than 30 years of service determined?

Full retirement age – the earliest age at which someone can begin receiving railroad retirement benefits that are not reduced for early retirement – is determined by the year a person was born. It has gradually increased since the year 2000, as a result of amendments to the Social Security Act which impacted railroad retirement annuitants and social security beneficiaries. Full retirement age for a railroad employee with less than 30 years of service is age 66 for those born in 1943 through 1954, and gradually increases to age 67 for those born in 1960, or later. (A chart listing employee birth years and the corresponding full retirement age is included in the answer to Question 2.)

2. Does the increase in full retirement age affect the computation of benefits reduced for early retirement?

Yes. The early retirement annuity reduction percentages applied to annuities awarded before full retirement age have increased. For employees retiring between age 62 and full retirement age with less than 30 years of service, the maximum reduction is 30% in 2022. Prior to 2000, the maximum reduction was 20%.

Age reduction percentages are applied separately to the tier I and tier II benefits of a railroad retirement annuity. The age reduction percentage is computed using the following formula: 1/180 for each of the first 36 months the employee is under full retirement age when his or her annuity begins, and 1/240 for each additional month (if any). This has resulted in the gradual increase in the annuity reduction percentage at age 62 to 30% for an employee, now that the full retirement age of age 67 is in effect. (See chart below.) However, if an employee had creditable railroad service before August 12, 1983, the retirement age for tier II purposes is age 65, and the tier II benefit will not be reduced beyond 20%.

The following chart shows the gradual increase in full retirement age and the corresponding increase in the age reduction percentages applied to the applicable employee annuities.

Employee Retires with Less than 30 Years of Service

Year of Birth*Full Retirement Age**Annuity Reduction at Age 62
1937 or earlier6520.00%
193865 and 2 months20.833%
193965 and 4 months21.667%
194065 and 6 months22.50%
194165 and 8 months23.333%
194265 and 10 months24.167%
1943 through 19546625.00%
195566 and 2 months25.833%
195666 and 4 months26.667%
195766 and 6 months27.50%
195866 and 8 months28.333%
195966 and 10 months29.167%
1960 or later6730.00%
* A person attains a given age the day before his or her birthday. Consequently, someone born on January 1 is considered to have attained his or her given age on December 31 of the previous year.
** If an employee has less than 10 years of railroad service and is already entitled to an age-reduced social security benefit, the tier I reduction is based on the reduction applicable on the beginning date of the social security benefit, even if the employee is already of full retirement age on the beginning date of the railroad retirement annuity.

3. What are some examples of how age reductions are applied to the annuities of employees with less than 30 years of service who retire before attaining full retirement age?

Consider an employee who was born on March 2, 1960, and retired in 2022 at the age of 62. Assume this employee was eligible for monthly tier I and tier II benefits, before age reductions, of $1,800 and $1,200, respectively, for a total monthly annuity of $3,000.

Upon retirement at age 62, the employee’s tier I benefit and tier II benefit was reduced by 30.00%, the maximum age reduction applicable in 2022. This yielded a tier I amount of $1,260 and a tier II amount of $840, for a total monthly annuity of $2,100. However, if the employee had railroad service before August 12, 1983, the tier II amount would be subject to a maximum reduction of only 20%, providing a tier II amount of $960, and a total monthly annuity of $2,220.

As a second example, if the same employee had been born on March 2, 1959, and retired in 2022 at the age of 63, the employee’s tier I benefit and tier II benefit would be reduced by 24.167%. This would yield a tier I amount of $1,364.99 and a tier II amount of $910, for a total monthly annuity of $2,274.99. However, if the employee had railroad service before August 12, 1983, the tier II amount would be subject to a maximum reduction of only 20%, providing a tier II amount of $960, and a total monthly annuity of $2,324.99.

4. How are railroad retirement spouse benefits affected by these requirements?

If an employee retiring with less than 30 years of service is age 62, the employee’s spouse is also eligible for an annuity the first full month the spouse is age 62. However, early retirement reductions are applied to the spouse annuity if the spouse retires prior to her or his full retirement age. 

Beginning in 2000, full retirement age for a spouse gradually began to rise to age 67, just as for an employee, depending on the spouse’s year of birth. While reduced spouse benefits are still payable at age 62, the maximum age reduction is 35% in 2022. 

As with employee annuities, age reduction percentages are applied separately to the tier I and tier II benefits of a spouse annuity. However, the tier I reduction is 1/144 for each of the first 36 months the spouse is under full retirement age when her or his annuity begins, and 1/240 for each additional month (if any). This has resulted in a gradual increase in the annuity reduction percentage at age 62 to 35% for a spouse, now that the age 67 retirement age is in effect. (See chart below.) However, if an employee had any creditable railroad service prior to August 12, 1983, the spouse retirement age for tier II purposes is age 65 and the maximum age reduction percentage applied to tier II would only be 25%. Age reductions are not applied to spouse annuities based on the spouse’s caring for the employee’s child.

The following chart shows the gradual increase in full retirement age and the corresponding increase in the age reduction percentages applied to the applicable spouse annuities.

Spouse Age Reductions

Year of Birth*Full Retirement Age**Annuity Reduction at Age 62
1937 or earlier6525.00%
193865 and 2 months25.833%
193965 and 4 months26.667%
194065 and 6 months27.50%
194165 and 8 months28.333%
194265 and 10 months29.167%
1943 through 19546630.00%
195566 and 2 months30.833%
195666 and 4 months31.667%
195766 and 6 months32.50%
195866 and 8 months33.333%
195966 and 10 months34.167%
1960 or later6735.00%
* A person attains a given age the day before her or his birthday. Consequently, someone born on January 1 is considered to have attained her or his given age on December 31 of the previous year.
** If the employee has less than 10 years of railroad service and the spouse is already entitled to an age-reduced social security benefit, the age reduction in her or his tier I will be based on the age reduction applicable on the beginning date of the spouse’s social security benefit, even if the spouse is already of full retirement age on the beginning date of her or his railroad retirement annuity.

5. What are some examples of how age reductions are applied to the annuities of the spouses of employees with less than 30 years of service whose spouses retire before full retirement age?

Consider the spouse of a railroader with less than 30 years of service, none of it prior to August 12, 1983, who was born on April 2, 1960, and is retiring in 2022 at age 62, with monthly tier I and tier II benefits, before any reductions for age, of $700 and $300, respectively, for a total monthly benefit of $1,000. 

Upon retirement at age 62, the spouse’s tier I benefit and tier II benefit would be reduced by 35.00%, the maximum age reduction applicable in 2022. This would yield a tier I amount of $455 and a tier II amount of $195 for a total monthly annuity of $650. However, if the employee had any rail service before August 12, 1983, the tier II benefit would be subject to a maximum reduction of only 25%, providing a tier II amount of $225, and a total monthly annuity of $680.

As a second example, if the same spouse had been born on April 2, 1959, and retires in 2022 at age 63, the spouse’s tier I benefit and tier II benefit would be reduced by 29.167%. This would yield a tier I amount of $495.83 and a tier II amount of $212.50, for a total monthly annuity of $708.33. However, if the employee had any rail service before August 12, 1983, the tier II benefit would be subject to a maximum reduction of only 25%, providing a tier II amount of $225, and a total monthly annuity of $720.83. 

6. Are age reductions applied to employee disability annuities?

Employee annuities based on disability are not subject to age reductions except for employees with less than 10 years of railroad service, but who have five years of service after 1995. Such employees may qualify for a tier I benefit before retirement age based on total disability, but only if they have a disability insured status (also called a “disability freeze”) under Social Security Act rules, counting both railroad retirement and social security-covered earnings. Unlike with a 10-year employee, a tier II benefit is not payable in these disability cases until the employee attains age 62. And, the employee’s tier II benefit will be reduced for early retirement in the same manner as the tier II benefit of an employee who retired at age 62 with less than 30 years of service.

7. Do these changes to full retirement age affect survivor benefits?

Yes. The eligibility age for a full widow(er)’s annuity has gradually risen, and is age 67 for those born in 1962, or later. A widow(er), surviving divorced spouse or remarried widow(er) whose annuity begins at full retirement age or later will generally receive an annuity unreduced for early retirement. (However, if the deceased employee received an annuity that was reduced for early retirement, a reduction would be applied to the tier I amount payable to his or her widow(er), surviving divorced spouse or remarried widow(er).) For widow(ers) who retire before attaining their full retirement age, the maximum age reduction percentages will vary, depending on the widow(er)’s date of birth, and is 20.36% for those born in 1962, or later. These age reductions apply to both tier I and tier II. For a surviving divorced spouse or remarried widow(er), the maximum age reduction is 28.5%. For a disabled widow(er), disabled surviving divorced spouse or disabled remarried widow(er), the maximum reduction is also 28.5%, even if the annuity begins at age 50.

8. Does the increase in full retirement age affect the age at which a person becomes eligible for Medicare benefits?

No. Although the age requirements for some unreduced railroad retirement benefits have risen just like the social security requirements, railroad retirement beneficiaries are still eligible for Medicare at age 65.

9. Do these increases in full retirement age also apply to the earnings limitations and work deductions governing benefit payments to annuitants who work after retirement?

Like social security benefits, railroad retirement tier I benefits paid to employees and spouses, and tier I and tier II benefits paid to survivors, are subject to deductions if an annuitant’s earnings exceed certain exempt amounts. These earnings limitations and work deductions apply to all age and service annuitants and spouses under full retirement age regardless of the employee’s years of service. Although employees retiring at age 60 with 30 years of service have no age reduction, these earnings limitations and work deductions still apply until they reach their full retirement age, which, like other employees, is determined by the year they were born. These earnings limitations also apply to survivor annuitants, with the exception of disabled widow(er)s under age 60 and disabled children.

Likewise, while special earnings restrictions apply to employees entitled to disability annuities, these disability earnings restrictions cease upon a disabled employee annuitant’s attainment of full retirement age. This transition is effective no earlier than full retirement age even if the annuitant had 30 years of railroad service.

The additional deductions applied to the annuities of retired employees and spouses who work for their last pre-retirement nonrailroad employer continue to apply after the attainment of full retirement age.

10. How can individuals get more information about railroad retirement age reductions?

Individuals with questions about railroad retirement age reductions can send a secure message to their local RRB office by accessing Field Office Locator at RRB.gov and clicking on the link at the bottom of their local office’s page. If a customer needs to talk to an RRB representative, they can call the agency’s toll-free number (1-877-772-5772) between the hours of 9 a.m. and 3 p.m. each weekday, except on federal holidays. However, customers are asked to be patient because of the increase in call volume due to the closure to the public of RRB offices during the COVID-19 pandemic. 

CLEVELAND, Ohio (March 7, 2022) — In conjunction with the Transportation Trades Department, AFL-CIO (TTD), the SMART Transportation Division (SMART-TD) and the Brotherhood of Locomotive Engineers and Trainmen (BLET) urge all members to engage in a petition drive to bring attention to the draconian and punitive attendance policies that have forced rail workers to live in constant fatigue.

This effort comes simultaneously with a letter by AFL-CIO TTD President Greg Regan to the federal Departments of Labor and Transportation in support of both unions’ request in late January for an investigation into all rail carrier attendance policies, not just BNSF’s recently imposed “Hi-Viz” policy that has sparked outrage among all affected employees.

The petition is available here.

“We speak with one voice, shoulder-to-shoulder, in saying enough is enough. Congress must act to end these unsafe and life-sapping policies that punish workers with job loss. These severe and excessively harsh policies also penalize families by taking away what precious little time they have with their loved ones, leaving them dead tired and drained,” SMART-TD President Jeremy Ferguson and BLET President Dennis Pierce said. “We thank TTD President Regan as our organizations continue to oppose draconian carrier attendance policies, such as the BNSF ‘Hi-Viz’ policy. These policies are clearly designed to further maximize carrier profits at the workers’ expense. Our unions will work jointly with TTD to raise awareness of these issues; they have gone unchallenged by our legislators and regulatory agencies for much too long.”

A case in point— according to a report in Business Insider published on March 4, five Democratic political leaders want an investigation by the Department of Labor (DOL) and the Equal Employment Opportunity Commission (EEOC) into Amazon’s attendance policies, and we have one question for them:

When do railroad workers get their turn?

Warren Buffett, while not as rich as Jeff Bezos, was crowing about BNSF’s record 2021 profits. It just so happens that his railroad, which happens to be the largest in the nation, imposed the draconian and punitive “Hi-Viz” policy that is absolutely in line with what Amazon is doing — points, permanent records and punishment for people if life gets in the way of work. Other Class I railroads have similar attendance policies. All of these need to be examined closely so that all workers receive the stable work-life balance that they DESERVE.

We’ve seen members’ posts on the internet, we have taken the calls and we have read and responded to the emails from our memberships. This is a top priority for SMART Transportation Division and BLET leaders. We need to work together and unite for a positive change instead of directing anger and discontent inward. As we continue to work with our elected leaders for the same help and support, it stands to reason that we will be reminding Senators Elizabeth Warren, Bernie Sanders and Richard Blumenthal as well as Representatives Alexandria Ocasio-Cortez, Cory Booker and Cori Bush that they should push for answers from BNSF and other railroads with the same energy and focus that they are placing on Amazon.

###

The SMART Transportation Division is comprised of approximately 125,000 active and retired members of the former United Transportation Union, who work in a variety of crafts in the transportation industry.

The Brotherhood of Locomotive Engineers and Trainmen represents nearly 57,000 professional locomotive engineers and trainmen throughout the United States. The BLET is the founding member of the Rail Conference, International Brotherhood of Teamsters.

Attention all SMART-TD and BLET members! Tonight at 7:00 p.m. central standard time (8:00 p.m. EST), SMART-TD President Jeremy Ferguson and BLET President Dennis Pierce will be airing a joint interview on the Rails Tails & Trails YouTube channel, which can be viewed at the following link: https://youtu.be/6N9r6QIGqA8.

Presidents Ferguson and Pierce will be providing updates on recent developments with BNSF’s HiViz attendance policy, commentary on our national rail contract negotiations, and discussion of other important issues affecting members of both Unions. 

As additional information, beginning at 6:00 p.m. CST (7:00 p.m. EST), Rails Tails & Trails host Jon Chaffin will be doing a giveaway for supporters of his channel. All members are encouraged to tune in, subscribe to the channel, and leave your feedback in the comments section. We are looking forward to finding out if you think the interview is informational, and if you would like the presidents to join a future episode on the Rails Tails & Trails podcast. If so, please comment on which issues you would like to see them discuss. 

We thank you for your continued support as we work diligently to keep all members informed!

Local 759 (Paramus, N.J.) President and Legislative Representative Rafael Becerra met with Department of Transportation Secretary Pete Buttigieg, Sen. Tom Carper and Gov. John Carney on Friday, March 4, in Wilmington, Del., as part of an event promoting the Bipartisan Infrastructure Law (BIL), formerly known as the Infrastructure Investment and Jobs Act.

Pictured, from left, U.S. Sen. Tom Carper, Local 759 (Paramus, N.J.) President/Legislative Representative Rafael Becerra, Department of Transportation Secretary Pete Buttigieg and Delaware Gov. John Carney pose for a photo during an event at the DART First State facility in Wilmington, Del., on Friday, March 4.

Brother Becerra, a veteran bus operator for Community Coach based out of New Jersey, frequently travels the main thoroughfares between the states and has been a SMART-TD member since November 1984.

“It was a great honor in meeting Transportation Secretary Buttigieg, Gov. Carney and Sen. Carper,” Becerra said. “The infrastructure law will accomplish a big transformation in our nation — not just the conditions of our roads and bridges — but in how people get around via bus and transit.”

Becerra has been a bus driver for nearly four decades and helped to evacuate people in conjunction with the Jan. 7, 2021, insurrection at the U.S. Capitol in Washington, D.C., and to transport soldiers to defend the area for President Biden’s inauguration. His experience was chronicled in the March/April 2021 SMART-TD News on Page 7.

“All of our bus members here in New Jersey and from coast to coast take extreme pride in doing their job safely day after day,” said New Jersey State Legislative Director Ron Sabol, who also attended the event. “For decades, President Becerra has served as a dependable bus operator, and he’s helping the membership in two roles as an elected officer. I’m very proud of his work and his leadership.”

The AFL-CIO Transportation Trades Department, of which the SMART Transportation Division is a proud member, released the following statement on March 1 after President Joe Biden’s State of the Union address.

Greg Regan and Shari Semelsberger, president and secretary-treasurer of the Transportation Trades Department, AFL-CIO (TTD), issued the below statement in response to President Biden’s first State of the Union (SOTU) address to the nation.

“From the passage of the American Rescue Plan to the biggest investment in infrastructure in our nation’s history, the first year of the Biden Administration was a capstone year of legislative victories for transportation labor unions and working people.

“Chief among these legislative victories is the Bipartisan Infrastructure Law (BIL), a once-in-a-generation investment across every sector of our transportation network — and an unprecedented investment in workers. 

“We proudly represent 36 labor unions whose members will be put to work during the implementation of this historic legislation, ushering in a new era of manufacturing, construction, and transportation job creation. We applaud President Biden for putting union job creation and worker empowerment at the center of his governing agenda.

“We welcome the progress of the White House Task Force on Worker Organizing and Empowerment, which recently released a report outlining 70 recommendations to empower workers, including an initiative to increase worker awareness of their federally protected rights to organize and establish a resource center for information on unions and collective bargaining.

“We urge Congress to heed the President’s call to pass the Richard L. Trumka Protecting the Right to Organize (PRO) Act, which would help workers collectively bargain for better wages, benefits, and working conditions.

“We look forward to continuing to work with President Biden and the Administration to create good union jobs, invest in America’s transportation infrastructure, and expand collective bargaining for every transportation worker in the nation.”

February 28, 2022 — By letter dated February 24, 2022, the rail bargaining coalition made up of the Brotherhood of Maintenance of Way Employes Division of the Teamsters Rail Conference and the Mechanical Division of the International Association of Sheet Metal, Air, Rail and Transportation Workers Union petitioned the National Mediation Board (NMB) for a proffer of arbitration, requesting to be released from further mediation sessions. If granted by the NMB, the proffer of arbitration is the next step in the process towards self-help and a potential Presidential Emergency Board to settle their contract dispute with the nation’s rail carriers.

The Coordinated Bargaining Coalition (CBC) unions, which are likewise in negotiations with the same rail carriers, support the BMWED/SMART Mechanical request to be released from mediation and agree that the parties are at an impasse and should be allowed to move the contract dispute to the next steps of the Railway Labor Act’s negotiation process. Although the CBC Unions are also in mediation with their next NMB-mediated bargaining session scheduled in March, the CBC made it clear to the NMB upon entering mediation that there is little, if any, hope of reaching a voluntary agreement in light of the rail carriers’ refusal to bargain in good faith with any of the rail unions. Therefore, the CBC fully expects to be making the same request for a release, and once all rail unions are released from mediation, the CBC will stand alongside the BMWED/SMART Mechanical Coalition through the final steps of the Railway Labor Act negotiation process to bring the bargaining round to a successful conclusion.

A copy of BMWED/SMART Mechanical’s February 23, 2022, letter to the National Mediation Board can be found by clicking here.


The unions comprising the Coordinated Bargaining Coalition are: the American Train Dispatchers Association (ATDA); the Brotherhood of Locomotive Engineers and Trainmen / Teamsters Rail Conference (BLET); the Brotherhood of Railroad Signalmen (BRS); the International Association of Machinists (IAM); the International Brotherhood of Boilermakers (IBB); the National Conference of Firemen & Oilers/SEIU (NCFO); the International Brotherhood of Electrical Workers (IBEW); the Transport Workers Union of America (TWU); the Transportation Communications Union / IAM (TCU), including TCU’s Brotherhood Railway Carmen Division (BRC); and the Transportation Division of the International Association of Sheet Metal, Air, Rail, and Transportation Workers (SMART-TD).

Collectively, the CBC unions represent more than 105,000 railroad workers covered by the various organizations’ national agreements, and comprise over 80% of the workforce who will be impacted by this round of negotiations.


4th Quarter 2021
Net Earnings: Increased 13% to $1.7 billion from $1.5 billion
Diluted Earnings Per Share: n/a – BNSF is not publicly traded
Revenue: Increased 11% to $6.3 billion from $5.7 billion
Operating Income: Increased 12% to $2.4 billion from $2.2 billion
Operating Expenses: Increased 10% to $3.9 billion from $3.5 billion
Operating Ratio: Improved to 60.0% from 60.3%


2021 Annual Earnings
Net Earnings: Increased 16% to $6.0 billion from $5.2 billion
Diluted Earnings Per Share: n/a – BNSF is not publicly traded
Revenue: Increased 12% to $23.3 billion from $20.9 billion
Operating Income: Increased 14% to $8.8 billion from $7.7 billion
Operating Expenses: Increased 10% to $14.5 billion from $13.1 billion
Operating Ratio: Improved to 60.9% from 61.6%
Read BNSF’s full earnings report.


4th Quarter 2021
Net Earnings: Increased 17% to C$1.20 billion from C$1.02 billion
Diluted Earnings Per Share: Increased 18% to $1.69 per share from $1.43 per share
Revenue: Increased 3% to C$3.75 billion from C$3.66 billion
Operating Income: Increased 11% to a record C$1.57 billion from C$1.41 billion
Operating Expenses: Decreased 1% to C$2.19 billion from C$2.25 billion
Operating Ratio: Improved 3.1 points to 58.3% from 61.4%

2021 Annual Earnings
Net Earnings: Increased 37% to C$4.90 billion from C$3.60 billion
Diluted Earnings Per Share: Increased 38% to $6.89 per share from $5.00 per share
Revenue: Increased 5% to C$14.48 billion from C$13.82 billion
Operating Income: Increased 18% to C$5.62 billion from C$4.78 billion
Operating Expenses: Decreased 2% to C$8.86 billion from C$9.04 billion
Operating Ratio: Improved 4.2 points to 61.2% from 65.4%
Read CN’s full earnings report.


4th Quarter 2021
Net Earnings: Decreased 34% to C$532 million from C$802 million
Diluted Earnings Per Share: Decreased 38% to $0.74 per share from $1.19 per share
Revenue: Increased 1% to C$2.04 billion from C$2.01 billion
Operating Income: Decreased 10% to C$832 million from C$928 million
Operating Expenses: Increased 11% to C$1.21 billion from C$1.08 billion
Operating Ratio: Worsened 530 basis points to 59.2% from 53.9%

2021 Annual Earnings
Net Earnings: Increased 17% to C$2.9 billion from C$2.44 billion
Diluted Earnings Per Share: Increased 16% to $4.18 per share from $3.59 per share
Revenue: Increased 4% to C$8.0 billion from C$7.71 billion
Operating Income: Decreased 3% to C$3.21 billion from C$3.31 billion
Operating Expenses: Increased 9% to C$4.80 billion from C$4.40 billion
Operating Ratio: Worsened 280 basis points to 59.9% from 57.1%
Read CP’s full earnings report.


4th Quarter 2021 
Net Earnings: Increased 23% to $934 million from $760 million
Earnings Per Share: Increased 27% to $0.42 per share from $0.33 per share
Revenue: Increased 21% to $3.43 billion from $2.83 billion
Operating Income: Increased 12% to $1.37 billion from $1.22 billion
Operating Expenses: Increased 28% to $2.1 billion from $1.6 billion
Operating Ratio: Worsened to 60.1% from 57.0%

2021 Annual Earnings
Net Earnings: Increased 37% to $3.8 billion from $2.8 billion
Earnings Per Share: Increased 40% to $1.68 per share from $1.20 per share
Revenue: Increased 18% to $12.52 billion from $10.58 billion
Operating Income: Increased 28% to $5.6 billion from $4.4 billion
Operating Expenses: Increased 11% to $6.9 billion from $6.2 billion
Operating Ratio: Improved to 55.3% from 58.8%
Read CSX’s full earnings report.


4th Quarter 2021
Net Earnings: Increased 258% to $595.1 million from $166.3 million
Earnings Per Share: On December 14, 2021, Canadian Pacific Railway acquired the outstanding common and preferred stock of KCS. Therefore, earnings per share data is not presented because the company does not have any outstanding or issued publicly traded stock.
Revenue: Increased 8% to $747.8 million from $693.4 million
Operating Income: Increased 209% to $810.6 million from $262.3 million
Operating Expenses: Decreased 115% to a negative $62.8 million from $431.1 million due to the merger
Operating Ratio: Improved 70.6 points to –8.4% from 62.2%

2021 Annual Earnings 
Net Earnings: Decreased 15% to $527 million from $619 million
Earnings Per Share: On December 14, 2021, Canadian Pacific Railway acquired the outstanding common and preferred stock of KCS. Therefore, earnings per share data is not presented because the company does not have any outstanding or issued publicly traded stock.
Revenue: Increased 12% to $2.95 billion from $2.63 billion
Operating Income: Decreased 12% to $884 million from $1.00 billion
Operating Expenses: Increased 27% to $2.06 billion from $1.63 billion
Operating Ratio: Worsened 8.1 points to 70.0% from 61.9%
Read KCS’s full earnings report.


4th Quarter 2021
Net Earnings: Increased 13% to $760 million from $671 million
Diluted Earnings Per Share: Increased 18% to $3.12 per share from $2.64 per share
Revenue: Increased 11% to $2.9 billion from $2.6 billion
Operating Income: Increased 15% to a 4th quarter record of $1.1 billion from $1.0 billion
Operating Expenses: Increased 8% to $1.7 billion from $1.59 billion
Operating Ratio: Improved 2% to a 4th quarter record 60.4% from 61.8%

2021 Annual Earnings 
Net Earnings: Increased 27% to $3 billion from $2 billion
Diluted Earnings Per Share: Increased 31% to $12.11 per share from $7.84 per share
Revenue: Increased 14% to $11.1 billion from $9.8 billion
Operating Income: Increased 28% to a record $4.4 billion from $3.0 billion
Operating Expenses: Decreased 1% to $6.7 billion from $6.8 billion
Operating Ratio: Improved 7% to an all-time record of 60.1% from 69.3%
Read NS’s full earnings report.

4th Quarter 2021 
Net Earnings: Increased 24% to $1.7 billion from $1.4 billion
Earnings Per Share: Increased 30% to $2.67 per share from $2.05 per share
Revenue: Increased 12% to $5.7 billion from $5.1 billion
Operating Income:  Increased 22% to $2.4 billion from $2.0 billion
Operating Expenses: Increased 5% to $3.3 billion from $3.1 billion
Operating Ratio: Improved 3.6 points to 57.4% from 61.0%

2021 Annual Earnings 
Net Earnings: Increased 22% to $6.5 billion from $5.3 billion
Earnings Per Share: Increased 26% to $9.98 per share from $7.90 per share
Revenue: Increased 12% to $21.8 billion from $19.5 billion
Operating Income: Increased 19% to $9.3 billion from $7.8 billion
Operating Expenses: Increased 7% to $12.5 billion from $11.7 billion
Operating Ratio: Improved 2.7 points to 57.2% from 59.9%

“The Union Pacific team concluded its most profitable year ever in 2021. We produced double-digit fourth-quarter revenue growth by leveraging our great rail franchise to generate positive business mix and core pricing gains,” UP CEO Lance Fritz said.
Read UP’s full earnings report.


Notes: 

  • Operating ratio is a railroad’s operating expenses expressed as a percentage of operating revenue, and is considered by economists to be the basic measure of carrier profitability. The lower the operating ratio, the more efficient the railroad.
  • All comparisons are made to 2020’s fourth-quarter and 2020 year-end results respectively for each railroad.
  • All figures for CN & CP are in Canadian currency, except for earnings per share.

From the National Mediation Board:

Washington, D.C. – The National Mediation Board (NMB) is pleased to announce the arrival of new Board Member, Deirdre Hamilton. Ms. Hamilton was confirmed by the United States Senate on December 7, 2021. She was sworn in and assumed her position with the NMB on January 25, 2022.

Prior to becoming a Member, Ms. Hamilton worked as a staff attorney at the International Brotherhood of Teamsters (IBT), working exclusively with the IBT’s Airline Division. At the IBT she represented most of the crafts or classes within the airline industry — including pilots, flight attendants, technicians, and aircraft cleaners — at both commercial and cargo air carriers. Before that, Ms. Hamilton was a staff attorney at the Association of Flight Attendants. In her career, she has handled a wide range of legal matters including National Mediation Board elections and mediation, collective bargaining support, contract enforcement, and litigation of Railway Labor Act issues. Ms. Hamilton began her career as a legal fellow in the General Counsel’s office at the International Association of Machinists and Aerospace Workers.

Ms. Hamilton has been an active member of the Railway Labor Act legal community. She has served as a panelist at meetings of the American Bar Association’s Labor and Employment Law Committee and the Railway and Airline Labor Law Committee. She has also served as a Senior Editor for the ABA Railway Labor Act Treatise.

Ms. Hamilton is a graduate of Oberlin College and the University of Michigan Law School.

The National Mediation Board (NMB) is an independent agency created by the Railway Labor Act, which governs labor management relations in the railroad and airline industries. To avoid serious disruptions to the Nation’s economy and protect the public interest, the Act imposes on carriers and their employees the duty of settling disputes through negotiation, mediation, and arbitration. The NMB, headed by three Presidential appointees, has as its chief statutory responsibilities: (1) mediation of collective bargaining disputes; (2) determination of employee representation for collective bargaining processes; and (3) administration of a grievance arbitration system.