OSHA logo; OSHAWASHINGTON – Norfolk Southern Railway Co. has been ordered to pay $1,121,099 to three workers following an investigation by the U.S. Department of Labor’s Occupational Safety and Health Administration, which found that the company violated the whistleblower provisions of the Federal Railroad Safety Act.

Two investigations, conducted by OSHA staff in Chicago and Pittsburgh, found that three employees were wrongfully fired for reporting workplace injuries. In addition to monetary remedies, the company has been ordered to expunge the disciplinary records of the three whistleblowers, post a notice regarding employees’ whistleblower protection rights under the FRSA and train workers on these rights.

Railroad carriers are subject to the FRSA, which protects employees who report violations of any federal law, rule or regulation relating to railroad safety or security, or who engage in other protected activities.

“The Labor Department continues to find serious whistleblower violations at Norfolk Southern, and we will be steadfast in our defense of a worker’s right to a safe job – including his or her right to report injuries,” said acting Secretary of Labor Seth D. Harris. “When workers can’t report safety concerns on the job without fear of retaliation, worker safety and health suffer, which costs working families and businesses alike.” 

One investigation involved a crane operator based in Fort Wayne, Ind., who was removed from service after reporting an eye injury requiring the extraction of a sliver of metal and rust ring from his eye. The injury occurred while he was operating a crane in support of a bridge-building operation in Albany, Ind. The employee was taken out of service and formally terminated on Aug. 24, 2010, after an internal investigation determined he had made false statements concerning the injury.

OSHA’s investigation concluded that the worker would not have been terminated if he had not reported the injury. The agency has ordered the railroad to pay him a total of $437,591.70 in damages, which includes $100,000 in compensatory damages for pain and suffering, $175,000 in punitive damages, and $156,518.94 in back wages and benefits. It also includes compensation of $6,072.76 to the crane operator for penalties incurred when he had to cash in savings bonds prior to their maturity date after being terminated. In addition to damages, the company has been ordered to pay reasonable attorney fees. Further, OSHA has ordered the railroad to reinstate the worker to the proper seniority level, with vacation and sick days that he would otherwise have earned.

OSHA’s second investigation involved a thermite welder and a welder’s helper based in western Pennsylvania. Both employees had worked at the railroad for more than 36 years without incident when they reported injuries sustained as a result of an accident caused by another vehicle that ran a red light and hit a second vehicle, which in turn collided with the company truck in which they were riding.

The employees initially reported minor shoulder area pain plus some stiffness and soreness. Later, when questioned by management, they initially declined medical treatment, but as the pain increased, sought and received treatment at a local hospital. They were then taken out of service pending an investigative hearing and formally terminated. Management concluded that the employees’ reports about their condition were false and conflicting and constituted misconduct.

OSHA’s investigation found that the employees were terminated for reporting injuries to management. The agency has ordered the railroad to pay them $683,508 in damages, including $300,000 in punitive damages; $233,508 in lost wages, benefits and out-of-pocket costs; and $150,000 in compensatory damages for pain and suffering. Interest on back pay due will accrue daily until the employees are paid. In addition to damages, the company has been ordered to pay reasonable attorney fees.

These actions follow several other orders issued by OSHA against Norfolk Southern Railway Co. in the past two years. OSHA’s investigations have found that the company continues to retaliate against employees for reporting work-related injuries, and these actions have effectively created a chilling effect in the railroad industry.

“The Labor Department’s responsibility is to protect all employees, including those in the railroad industry, from retaliation for exercising these basic worker rights,” said Dr. David Michaels, assistant secretary of labor for occupational safety and health. Railroad workers must be able to report work-related injuries without fear of retaliation.”

Norfolk Southern Railway Co. is a major transporter/hauler of coal and other commodities, serving every major container port in the eastern United States with connections to western carriers. Its headquarters are in Norfolk, Va., and it employs more than 30,000 union workers worldwide.

Any party to these cases can file an appeal with the Labor Department’s Office of Administrative Law Judges within 30 days of receipt of the findings.

On July 16, 2012, OSHA and the U.S. Department of Transportation’s Federal Railroad Administration signed a memorandum of agreement to facilitate coordination and cooperation for enforcing the FRSA’s whistleblower provisions. Between August 2007, when OSHA was assigned responsibility for whistleblower complaints under the FRSA, and September 2012, OSHA received more than 1,200 FRSA whistleblower complaints. The number of whistleblower complaints that OSHA currently receives under the FRSA surpasses the number it receives under any of the other 21 whistleblower protection statutes it enforces except for Section 11(c) of the Occupational Safety and Health Act of 1970. More than 60 percent of the FRSA complaints filed with OSHA involve an allegation that a railroad worker has been retaliated against for reporting an on-the-job injury.

OSHA enforces the whistleblower provisions of the FRSA and 21 other statutes protecting employees who report violations of various airline, commercial motor carrier, consumer product, environmental, financial reform, food safety, health care reform, nuclear, pipeline, worker safety, public transportation agency, maritime and securities laws. Employers are prohibited from retaliating against employees who raise various protected concerns or provide protected information to the employer or to the government.

Employees who believe that they have been retaliated against for engaging in protected conduct may file a complaint with the secretary of labor to request an investigation by OSHA’s Whistleblower Protection Program. Detailed information on employee whistleblower rights, including fact sheets, is available at http://www.whistleblowers.gov.

Under the Occupational Safety and Health Act of 1970, employers are responsible for providing safe and healthful workplaces for their employees. OSHA’s role is to ensure these conditions for America’s working men and women by setting and enforcing standards, and providing training, education and assistance. For more information, visit http://www.osha.gov.

HURLEY, Va. —  The Norfolk Southern locomotive engineer who suffered a bullet wound in the NS Hurley yard here Sept. 20 reportedly confessed to shooting himself, according to news reports citing the sheriff’s office in Buchanan County, Va.

Hurley is some 100 miles south of Charleston, W.Va.

Engineer Mark Jarrell, 41, of Canada, Ky., suffered a non-life threatening wound to the upper torso around 8:30 p.m., Sept. 20, and was treated at an area hospital.  According to news reports, he initially told sheriff’s deputies he was shot by an unknown assailant as he exited a locomotive, causing sheriff’s deputies, Virginia state police and Norfolk Southern police to search the area most of the night for a gunman. A handgun was found near the scene.

Jarrell now faces a charge of giving false information to a police officer during a criminal investigation. The Buchanan County sheriff was quoted by the Bluefield Daily Telegraph newspaper that Jarell admitted the gunshot wound was self-inflicted and that additional charges could be filed against Jarrell.

OSHA logo; OSHAEven when railroads return workers to their jobs with full back pay after wrongly terminating them for suffering a workplace injury, significant monetary sanctions may still be imposed by the Department of Labor’s Occupational Safety and Health Administration (OSHA).

Case in point is Norfolk Southern, which was ordered to pay damages in excess of $580,000 in August after violating the Federal Railroad Safety Act’s worker protections against employer harassment, intimidation, discipline and termination in retaliation for reporting workplace injuries or safety concerns.

Railroads have been hit with millions of dollars in sanctions by OSHA over the past year for such behavior, but this case is significant in that the railroad unsuccessfully claimed it should not be sanctioned because after terminating the worker it reinstated him with full back pay.

The unidentified conductor, who suffered a shoulder injury, had been riding the lead car to protect a shove at NS’s Decatur, Ill., yard when several cars behind him derailed due to poorly maintained rail ties.

NS initially claimed the injury was fabricated, and fired the conductor for allegedly making a false injury report. A public law board subsequently ordered the railroad to rehire the conductor with full back pay – 10 months after the workplace injury — and he continues to work for NS. During those 10 months of unemployment, the conductor endured significant financial distressed.

A UTU designated legal counsel, who brought a complaint before OSHA under the whistleblower provisions of the Federal Railroad Safety Act, said NS contended there were no damages to be assessed because the conductor had been put back to work with full pay.

OSHA said the NS arguments were baseless and that the railroad should be punished for violating the conductor’s rights under the Federal Railroad Safety Act.

OSHA then ordered NS to pay the conductor – in addition to the back pay already received – more than $580,000 to cover pain and suffering, punitive damages, loss of employer-paid benefits during the period of unemployment, attorney’s fees and additional lost wages plus interest because OSHA said NS had under-calculated the amount of back pay.

NS also was ordered by OSHA to restore the conductor’s seniority level and vacation and sick days credit, and further credit him with 10 months of service toward his Railroad Retirement pension.

OSHA also ordered NS to provide all workers in its Decatur yard with a copy of an OSHA fact sheet on whistleblower protection, to post in the yard a notice explaining worker rights under the Federal Railroad Safety Act, and to expunge from the conductor’s personnel file all records of his termination and OSHA claim.

“This decision sends a powerful message that terminating an employee for an injury creates financial exposure for the railroad far beyond just having to put him back on the job with back pay,” said UTU International President Mike Futhey. “No longer can a railroad simply calculate the worse-case scenario as having only to provide back pay.”

A rail employee who believes he was improperly harassed, intimidated, disciplined or terminated for reporting a workplace injury or safety concern may file a whistle-blower complaint directly with OSHA, or may contact a UTU designated legal counsel, general chairperson or state legislative director for assistance.

A listing of UTU designated legal counsel is available at:

https://www.smart-union.org/td/designated-legal-counsel/

or may be obtained from local or general committee officers or state legislative directors.

To view a more detailed OSHA fact sheet, click on the following link:

www.osha.gov/Publications/OSHA-factsheet-whistleblower-railroad.pdf

OSHA logo; OSHAIn ice hockey, the scoring by one player of three goals is called a “hat trick.” In baseball, a player striking out four times in a single game is said to have earned a “golden sombrero.”

Norfolk Southern’s feat is to have earned from OSHA a still unnamed fifth significant sanction in recent months for violating – through harassment, intimidation and unwarranted discipline — the rights of injured employees or those attempting to report a safety concern.

While other railroads have earned one or more recent rebukes from OSHA, Norfolk Southern seems headed for a gold medal in this dubious category of employee harassment, intimidation and unwarranted discipline.

OSHA says the reason has been the railroad’s single-minded, if not narrow minded, determination to be declared the nation’s safest railroad – albeit through harassing, intimidating and disciplining workers not to report their workplace injuries.

Norfolk Southern denies the allegations and is appealing each of the OSHA actions.

BNSF, which also has been sanctioned numerous times by OSHA for similar violations of the rights of injured and safety-conscious employees, recently took the art of intimidation to a new level by attempting to coerce employee witnesses to its alleged violations to allow a BNSF attorney in the room when questioned by OSHA investigators. BNSF denies its intent is to intimidate those employees from being candid with OSHA investigators.

“Railroad workers throughout this country have the right to report an injury without fear of retaliation,” said Cindy Coe, OSHA’s regional administrator in Atlanta. OSHA, she said, “will continue to protect” rail workers from employer retaliation, and employers found in violation “will be held accountable.”

As reported by the Norfolk, Va., Virginian Pilot newspaper, four of the five OSHA-determined violations were announced within months of Norfolk Southern’s winning the railroad industry’s E.H. Harriman gold medal safety award in May for the 23rd year in a row.

“The Harriman program, in place for nearly 100 years, quietly ended with this year’s awards, though news releases about this year’s winners from Norfolk Southern and the Association of American Railroads did not explicitly state that the program was over,” reported the newspaper. “The industry group did not say why it ended.”

A Norfolk Southern spokesperson told the newspaper there was “no connection” between its OSHA-determined violation of employee rights under federal law and the ending of the Harriman program.

The UTU and other rail labor organizations have long held that the Harriman awards program encouraged carrier supervisors to harass, intimidate and discipline injured and safety-conscious employees in an effort to earn cash bonuses and promotions in conjunction with their railroad’s winning of a Harriman gold, silver or bronze medal.

The award is named after the late railroad baron Edward Henry Harriman who, during the late 19th and early 20th century, held financial control of Union Pacific, Southern Pacific, Illinois Central, Central of Georgia, plus other smaller railroads, a steamship line and Wells Fargo Express.

The UTU documented in 2007 that a Norfolk Southern supervisor posed as a clergyman to enter the hospital room of an injured worker. Once there, according to obtained evidence, he tried to convince the attending physician not to prescribe a particular medication, which would have required reporting the injury to the Federal Railroad Administration and putting the winning of a Harriman gold medal at risk.

The Federal Railroad Safety Act of 1970 extended whistleblower protection to employees who are retaliated against for reporting an injury or illness requiring medical attention. The Rail Safety Improvement Act of 2008 added additional requirements ensuring injured workers receive prompt medical attention.

Their purpose is to protect rail workers from retaliation and threats of retaliation when they report injuries or illness, report that a carrier violated safety laws or regulations, or if the employee refuses to work under certain unsafe conditions or refuses to authorize the use of safety related equipment.

An employer is outright prohibited from disciplining an employee for requesting medical or first-aid treatment, or for following a physician’s orders, a physician’s treatment plan, or medical advice.

Retaliation, including threats of retaliation, is defined as firing or laying off, blacklisting, demoting, denying overtime or promotion, disciplining, denying benefits, failing to rehire, intimidation, reassignment affecting promotion prospects, or reducing pay or hours.

UTU designated legal counsel have pledged to investigate and assist UTU members in bringing complaints under these laws.

A rail employee may file a whistle-blower complaint directly with OSHA, or may contact a UTU designated legal counsel, general chairperson or state legislative director for assistance.

A listing of UTU designated legal counsel is available at:

https://www.smart-union.org/td/designated-legal-counsel/

or may be obtained from local or general committee officers or state legislative directors.

To view a more detailed OSHA fact sheet, click on the following link:

www.osha.gov/Publications/OSHA-factsheet-whistleblower-railroad.pdf

 

Delivering on the theme of the 2012 regional meetings – “We will not back down” – UTU International President Mike Futhey told more than 1,000 attendees at the Memphis meeting how the UTU is using every tool available – negotiations, legislative and legal — to defend its members’ jobs and workplace safety.

* On the Belt Railway of Chicago, where the carrier is demanding contract changes to permit one person crews at carrier discretion, the UTU has asked the National Mediation Board to declare a bargaining impasse. Belt Railway General Chairperson Chris Votteler’s negotiating team, assisted by International Vice President Delbert Strunk, faces a carrier that refuses to take crew consist changes off the table – three years following start of negotiations — even though the carrier is party to a moratorium on the issue.

“We will take every action necessary to protect our members’ jobs. We will not stand down on crew consist,” Futhey said.

* As to conductor certification — mandated by Congress and put into regulatory language by the Federal Railroad Administration – Norfolk Southern has filed an FRA-required certification plan without discussion and coordination with general chairpersons.

The NS proposed plan seeks to provide a pilot for remedial training only for conductors who have not traveled over a territory for 36 months, rather than the 12 months required in current agreements; and then seeks to place the burden of notification solely on the conductor rather than tracking the time period electronically. Additionally, the NS plan does not discuss procedures it will follow in an investigation even though FRA regulations require railroads to provide all documents and the list of witnesses prior to a hearing.

Futhey said the UTU will not permit “a tortured interpretation” of congressional and FRA intent, and will work to ensure every railroad follows the letter and intent of the law and regulations prior to the required Sept. 1 deadline for certifying conductors.

* In Pennsylvania, Norfolk Southern is attempting to disregard state safety laws and regulations through federal preemption affecting workplace safety at hump yards. “We will take every action necessary to prevent railroads from weakening workplace safety protections, whether at the state or federal level,” Futhey said.

* Pointing to millions of dollars in fines assessed by the Occupational Safety and Health Administration against railroads that have harassed, intimidated, disciplined and fired workers for reporting injuries and workplace safety concerns, Futhey reminded members that UTU designated legal counsel is pledged to assist in bringing and pursuing such complaints. Information on filing these complaints is available at the UTU website at www.utu.org by searching “OSHA.”

“We are not going to allow carriers to continue their pattern of harassment and intimidation of workers who are injured on the job,” Futhey said. “The FRA and OSHA recently signed a letter of intent to investigate jointly all complaints of carrier harassment and intimidation, and the FRA has informed each carrier of its intent to work with OSHA to end the long-standing practice of carriers disciplining injured workers “where the facts fail to support the charges. We are lawyered up, too, and will take this to wherever we must to protect the interests of our members.”

* Recalling the horrific murder of a UTU-member bus driver in Los Angeles, the fatal shooting of a train-crew member near New Orleans, and assaults on bus operators and intrusions into locomotive cabs by armed robbers elsewhere, Futhey said the UTU is working with lawmakers and regulators to implement better safeguards for its air, bus and rail members. The FRA recently imposed a requirement that all new and remanufactured locomotive cabs be equipped with secure cab locks.

“I promise every member that the UTU will stand shoulder-to-shoulder with our members to ensure their safety. Our voice will be heard,” Futhey said.

As to the state of the union, Futhey said the International’s general fund balance is improving as carriers bring back furloughed workers, that the UTU Insurance Association now has a $28 million surplus and is financially strong, and the Discipline Income Protection Plan (DIPP) is financially sound with more than $10 million in assets.

Futhey emphasized that while competing plans often seek ways to deny payment of claims, the UTU’s DIPP is aggressive in paying claims. Futhey cited an example of two workers on the same assignment on CSX – one covered by the UTU’s DIPP and the other by a competing plan – who were both suspended. “Where the competing plan denied the claim, DIPP paid the claim. End of story.”

As for the UTU’s disability insurance plan covering bus and rail members, Futhey said it has paid out more than $22 million in disability benefits for off-duty injuries and is proving to be a valuable benefit.

As to organizing, Futhey said that since January 2008, when he took office, the UTU has an unprecedented record of organizing one new property every seven weeks. One of the first post-merger coordinations has been the joint strengthening with the Sheet Metal Workers International Association of organizing efforts, which makes greater resources available for organizing transportation, building trades and production workers.

Futhey also explained how the UTU negotiating strategy in national handling has already paid off for rail members covered by the national rail contract.

“When we entered  national rail contract negotiations, our strategy was to hold the monthly cost sharing premium under $200 — rather than allow it to escalate to $300 or more — in exchange for somewhat higher copays,” Futhey said. “The Affordable Care Act now eliminates many of those copays, saving affected members out-of-pocket for many health care services while those members enjoy one of the lowest cost-sharing premiums in the public and private sectors.”

UTU International President Mike Futhey

BNSF reported a 16 percent increase in profit for the second quarter 2012 versus second quarter 2011.

BNSF’s second quarter 2012 operating ratio of 71.1 percent was a more than 3 percentage point improvement over second quarter 2011. 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.

BNSF operates in 28 states and two Canadian provinces

 

Canadian National reported a 17 percent increase in profit for the second quarter 2012 versus second quarter 2011. The railroad said its revenue was helped by a nine-day strike at Canadian Pacific – the additional traffic overcoming declines in coal, fertilizer and grain shipments.

CN’s second quarter 2012 operating ratio of 61.3 was unchanged from second quarter 2011. 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.

CN is primarily a Canadian railroad. Its U.S. holdings include what were formerly Detroit, Toledo & Ironton; Elgin, Joliet & Eastern; Grand Trunk Western; Illinois Central; and Wisconsin Central.

 

Canadian Pacific reported 20 percent drop in profit for the second quarter 2012 versus second quarter 2011, citing a nine-day strike.

CP’s second quarter 2012 operating ratio weakened to 82.5 percent from the second quarter 2011 operating ratio of 81.7. 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.

Canadian Pacific is primarily a Canadian railroad. Its U.S. holdings include Class I Soo Line and regional railroad Delaware & Hudson.

  

CSX reported a 1.2 percent improvement in profit for the second quarter 2012 versus second quarter 2011. CSX said a 27 percent jump in automotive traffic and an 8 percent increase in trailers and containers offset a significant decline in coal traffic volume.

The CSX second quarter 2012 operating ratio of 68.7 percent was an improvement over the 69.3 percent operating ratio for the second quarter 2011. 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.

CSX operates some 21,000 route miles in 23 states and the District of Columbia.

 

Kansas City Southern reported a 70 percent improvement in profit for the second quarter 2012 versus second quarter 2011, citing a gain from financial restructuring along with a 23 percent boost in trailers and containers and a 15 percent gain in automotive revenue, which overcame a 24 percent drop in coal traffic.

KCS’s second quarter 2012 operating ratio of 70.5 was 1.2 percentage point improvement over the second quarter 2011 operating ratio of 71.7. 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.

KCS operates some 3,500 route miles in 10 states in the Central and South-Central U.S., as well as Kansas City Southern de Mexico, a primary Mexican rail line.

 

Norfolk Southern reported a 5.9 percent slide in profit for the second quarter 2012 versus second quarter 2011. Coal is a major source of revenue for Norfolk Southern, and a 15 percent plunge in coal revenue could not be offset by increases in revenue from automotive and chemicals traffic and trailers and containers.

NS’s second quarter 2012 operating ratio of 67.5 – a record quarterly low for the railroad — was a significant two-percentage-point improvement from the 69.5 percent operating ratio in second quarter 2011. 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.

Norfolk Southern operates some 20,000 route miles in 22 states and the District of Columbia.

 

Union Pacific profit rose 28 percent in second quarter 2012 compared with second quarter 2011. The railroad said higher freight rates and fuel surcharges, along with growing demand, offset weak coal volume. UP said it was the “best-ever quarterly results.”

Union Pacific’s second quarter 2012 operating ratio of 67.0 percent was a 4.3 percentage point improvement over the 71.3 percent operating ratio for the second quarter 2011. 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.

Union Pacific operates some 32,000 route miles in 23 states in the western two-thirds of the U.S.

BNSF second quartaer results have not yet been reported.

COLUMBUS, Ohio — The UTU Transportation Safety Team is assisting the National Transportation Safety Board in investigating a fiery explosion following a Norfolk Southern derailment here July 11. Sixteen of 98 cars carrying ethanol, corn syrup and grain left the tracks around 2 a.m.

There were no injuries among the crew, but two nearby residents were slightly injured when the ethanol in three of the tank cars leaked and exploded into flame.

A witness said it looked as if the sun had fallen onto the tracks where the derailment and explosions occurred. About 100 nearby residents were evacuated from their homes during the height of the fire.

It is reasonable to wonder just how many millions of dollars in sanctions must be assessed against railroads by the federal government before they learn the lesson that employees are not the equivalent of number 2 pencils to be chewed on at will and discarded when convenient.

In the most recent comeuppance applied to Norfolk Southern by the U.S. Department of Labor’s Occupational Safety and Health Administration, sanctions totaling more than $802,000 were imposed as punishment for violating the whistleblower protection provisions of the new section 20109 added by Congress in 2007 to the Railroad Safety Act. NS was found to have harassed, intimidated and ultimately fired three employees who reported and sought medical attention for on-duty injuries.

NS also was ordered by OSHA to expunge the disciplinary records of the three whistleblowers, post workplace notices regarding railroad employees’ whistleblower protection rights and provide training to its employees about these rights.

The latest OSHA fines — and there have been several in the past– against NS followed OSHA investigations in Greenville, S.C.; Louisville, Ky., and Harrisburg, Pa., each showing, according to OSHA,  “reasonable cause to believe that the employees’ reporting of their workplace injuries led to internal investigations and, ultimately, to dismissals from the company.”

OSHA does not release the names of whistleblowers. The Harrisburg employee was reportedly a conductor; the Louisville whistleblower an engineer and the Greenville whistleblower a maintenance-of-way employee.

“Firing workers for reporting an injury is not only illegal, it also endangers all workers. When workers are discouraged from reporting injuries, no investigation into the cause of an injury can occur,” said Assistant Secretary of Labor for Occupational Safety and Health Dr. David Michaels. “To prevent more injuries, railroad workers must be able to report an injury without fear of retaliation.”

In 2011, OSHA, in hitting NS with sanctions of more than $122,000, said NS’ culture of employee harassment and intimidation permitted the railroad to “maintain the appearance of an exemplary safety record and continue its 22-consecutive-year record as recipient of the E.H.Harriman Gold Medal Rail Safety Award.”

In the latest assessment of sanctions against NS, OSHA reported:

* A maintenance-of-way employee was charged with improper performance of duties after reporting an injury as a result of being hit by a NS highway vehicle. OSHA found he had been singled out and treated with bias because of reporting the injury.

* An engineer was charged with falsifying an injury and terminated after reporting he tripped and fell in a locomotive restroom. OSHA found the investigative hearing was flawed and orchestrated to intentionally support the decision to terminate the employee.

* A conductor was charged with making false and conflicting statements and terminated after reporting a head injury sustained when he blacked out and fell down steps while returning from the locomotive lavatory. OSHA said that the day before the injury, the employee had been lauded for excellent performance, highlighted by no lost work time due to injuries in his 35-year career. OSHA again found that the investigative hearing was flawed, and there was no evidence the employee intended to misrepresent his injury.

The Federal Railroad Safety Act of 1970 extended whistleblower protection to employees who are retaliated against for reporting an injury or illness requiring medical attention. The Rail Safety Improvement Act of 2008 added additional requirements ensuring injured workers receive prompt medical attention. Prohibitions were imposed by Congress on carrier intimidation and harassment of injured workers in an effort to end a culture that placed the winning of carrier safety awards and year-end managerial bonuses as a higher priority than treatment and prevention of injuries.

The laws were passed by Congress after the UTU documented a railroad culture of harassment and intimidation against injured and ill workers. Their purpose is to protect rail workers from retaliation and threats of retaliation when they report injuries or illness, report that a carrier violated safety laws or regulations, or if the employee refuses to work under certain unsafe conditions or refuses to authorize the use of safety related equipment.

An employer is outright prohibited from disciplining an employee for requesting medical or first-aid treatment, or for following a physician’s orders, a physician’s treatment plan, or medical advice.

Retaliation, including threats of retaliation, is defined as firing or laying off, blacklisting, demoting, denying overtime or promotion, disciplining, denying benefits, failing to rehire, intimidation, reassignment affecting promotion prospects, or reducing pay or hours.

UTU designated legal counsel have pledged to investigate and assist UTU members in bringing complaints under these laws.

A rail employee may file a whistle-blower complaint directly with OSHA, or may contact a UTU designated legal counsel, general chairperson or state legislative director for assistance.

A listing of UTU designated legal counsel is available at:

https://www.smart-union.org/td/designated-legal-counsel/

or may be obtained from local or general committee officers or state legislative directors.

To view a more detailed OSHA fact sheet, click on the following link:

www.osha.gov/Publications/OSHA-factsheet-whistleblower-railroad.pdf

BNSF reported a 15 percent increase in profit forf the first quarter 2012 versus first quarter 2011, citing improved pricing and higher fuel surcharges.

BNSF’s first quarter 2012 operating ratio of 74.4 percent was one percentage point lower than for the first quarter 2011. 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.

BNSF operates in 28 states and two Canadian provinces.

 

Canadian National reported a 16 percent increase in profit for the first quarter 2012 versus first quarter 2011, saying its bottom line was helped by a mild winter and improved economic conditions.

CN’s first quarter 2012 operating ratio of 66.2 percent was almost 3 percentage points better than its 69.0 operating ratio for the first quarter 2011. 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.

CN is primarily a Canadian railroad. Its U.S. holdings include what were formerly Detroit, Toledo & Ironton; Elgin, Joliet & Eastern; Grand Trunk Western; Illinois Central; and Wisconsin Central.

 

Canadian Pacific reported a 318 percent increase in profit for the first quarter 2012 versus first quarter 2011.

The key was a more than 10 percentage point improvement in CP’s operating ratio, which fell to 80.1 percent for the first quarter 2012 – down from 90.6 for the first quarter 2011. 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.

Canadian Pacific is primarily a Canadian railroad. Its U.S. holdings include Class I Soo Line and regional railroad Delaware & Hudson.

 

Even with sharply reduced coal loadings, CSX reported a 14 percent increase in profit for the first-quarter 2012 versus first-quarter 2011. CSX credited price hikes and increased shipments of automobiles, metals and intermodal (trailers and containers on flatcars) as the reason.

CSX said coal loadings for the quarter were down 14 percent, but automobile and auto-related traffic rose 18 percent.

The CSX first-quarter 2012 operating ratio of 71.1 percent was a record for the first quarter. 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.

CSX operates some 21,000 route miles in 23 states and the District of Columbia.

Kansas City Southern  reported a 17 percent improvement in profit for the first quarter 2012 versus first quarter 2011, with the railroad citing “robust” intermodal and automotive traffic along with “growing cross-border traffic with Mexico.”

KCS’s first quarter 2012 operating ratio of 71.2 was 2.6 percentage points improved from its operating ratio for the first quarter 2011. 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.

KCS operates some 3,500 route miles in 10 states in the Central and South-Central U.S., as well as Kansas City Southern de Mexico, a primary Mexican rail line.

 

Norfolk Southern reported a 26 percent improvement in profit for the first quarter 2012 versus first quarter 2011, citing pricing strength and an increase in intermodal traffic that offset a 6 percent reduction in coal traffic.

NS’s first quarter 2012 operating ratio of 73.3 was improved from the 74.9 percent operating ratio for first quarter 2011. 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.

Norfolk Southern operates some 20,000 route miles in 22 states and the District of Columbia.

 

Union Pacific reported a 35 percent improvement in profit for the first quarter 2012 versus first quarter 2011, with the railroad citing a 15 percent increase in shipments of automobiles and gains in the number of carloads of other industrial products that offset dampening demand for coal transport.

UP’s first quarter 2012 operating ratio of 70.5 was 4.2 percentage points better than for the first quarter 2011. 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.

Union Pacific operates some 32,000 route miles in 23 states in the western two-thirds of the U.S.

CANADIAN NATIONAL

Canadian National reported a 9 percent increase in profit for calendar-year 2011 versus calendar-year 2010.

The CN calendar-year operating ratio of 63.5 percent was a slight improvement over the 63.6 percent operating ratio for calendar-year 2010. 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.

CN said “solid operational and service performance helped CN deliver exceptional financial results.”

CN is primarily a Canadian railroad. Its U.S. holdings include what were formerly Detroit, Toledo & Ironton; Elgin, Joliet & Eastern; Grand Trunk Western; Illinois Central; and Wisconsin Central.

 

CANADIAN PACIFIC

Canadian Pacific reported a 12 percent reduction in profit for calendar-year 2011 versus calendar-year 2010.

The CP calendar-year 2011 operating ratio of 81.3 was a steep increase from the 77.6 percent calendar-year 2010 operating ratio. 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.

CP said, “We exited 2011 having made meaningful progress on the three pillars of our multi-year plan: driving growth, expanding network capacity to safely and efficiently support higher volumes and controlling costs.

Canadian Pacific is primarily a Canadian railroad. Its U.S. holdings include Class I Soo Line and regional railroad Delaware & Hudson.

 

CSX

Despite reductions in agricultural, chemicals, coal and intermodal shipments, CSX reported an 11 percent increase in profit for calendar-year 2011 versus calendar-year 2010.

The CSX calendar-year operating ratio of 70.9 percent was an improvement from the 71.1 percent operating ratio for calendar-year 2010. 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. For the fourth quarter 2011, the CSX operating ratio increased to 71.5 percent from 70.0 percent for the fourth-quarter 2010.

CSX Chairman Michael Ward told investors, “Our performance in 2011 has set a strong foundation for growth.”

CSX operates some 21,000 route miles in 23 states and the District of Columbia.

 

KANSAS CITY SOUTHERN

Kansas City Southern reported a 26 percent increase in profit for calendar-year 2011 versus calendar-year 2010.

The KCS calendar-year operating ratio was 70.9 percent versus 73.2 percent for calendar-year 2010. 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. For the fourth quarter 2011, the KCS operating ratio was 71.6 percent, an improvement from fourth-quarter 2010.

The railroad said 2011 was “the first time in our railroad’s 125 years we attained over $2 billion revenue and two million carloads.”

KCS operates some 3,500 route miles in 10 states in the Central and South-Central U.S., as well as Kansas City Southern de Mexico, a primary Mexican rail line.

 

NORFOLK SOUTHERN

Norfolk Southern reported a 28 percent increase in profit for calendar-year 2011 versus calendar-year 2010.

The railroad’s calendar-year 2011 operating ratio of 71.2 percent was a 1 percentage point improvement over calendar-year 2010. 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.

NS said said it “achieved all-time records for revenues, operating income, net income, and earnings per share during 2011, and set fourth-quarter records for revenues, net income, and earnings per share.”

Norfolk Southern operates some 20,000 route miles in 22 states and the District of Columbia.

UNION PACIFIC

Union Pacific reported an 18 percent increase in profit for calendar-year 2011 versus calendar-year 2010, citing improvements in “core pricing.”

UP’s calendar-year 2011 operating ratio of 70.7 percent was but one-tenth of one-percent off its record 70.6 percent operating ratio for 2010. 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. UP’s operating ratio of 68.3 percent was a record fourth-quarter low, and almost two percentage points improved from its 2010 fourth-quarter operating ratio.

UP said it still had 1,030 employees on furlough at year-end – down from 1,500 at year-end 2010 and well below the 4,200 on furlough at the end of 2009.

“We expect continued slow but steady economic growth in 2012,” Union Pacific CEO Jim Young said.

Union Pacific operates some 32,000 route miles in 23 states in the western two-thirds of the U.S.

BNSF, which is privately held, has not yet posted its 2011 financial results. They will be added when available.