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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.

Norfolk Southern said Nov. 3 it intends to hire 500 employees by year end, and add another 2,600 employees in 2012 to meet growing demand for service and to replace those retiring.

Hiring will be for conductors, as well as other crafts, including freight car repairers, machinists, signal maintainers, and track maintenance workers.

For more information, click on the following link:

www.nscorp.com/nscportal/nscorp/Job_Seekers/

WASHINGTON – The U.S. Surface Transportation Board has determined that only one major railroad – Union Pacific – was “revenue adequate” in calendar year 2010.

A railroad is considered “revenue adequate” if it achieves a rate of return on net investment equal to at least the current cost of capital for the railroad industry.

Revenue adequacy determines long-term financial sustainability – the ability to pay investors competitive returns as well as covering the cost of efficient operation, which includes obtaining capital for new equipment; to maintain existing track, bridges, signal systems and other capital assets; and to fund capacity expansion.

For 2010, the STB concluded that the current cost of capital for the railroad industry was 11.03 percent, and only Union Pacific achieved a rate of return equal to or exceeding that percentage. No railroad was found to be “revenue adequate” for calendar year 2009.

For 2010, the STB determined that Union Pacific achieved a rate of return on net investment of 11.54 percent; Norfolk Southern, 10.96 percent; CSX, 10.85 percent; Kansas City Southern, 9.77 percent; BNSF, 9.22 percent; Canadian National U.S. affiliates, 9.21 percent; and Canadian Pacific U.S. affiliates, 8.01 percent.

BNSF reported a 9 percent improvement in profit for the third quarter 2011 versus the third quarter 2010.

The third-quarter operating ratio of 71.7 percent was slightly higher than the 70.8 percent for third-quarter 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.

BNSF, which is privately held by Berkshire Hathway, operates 28,000 route miles in 28 states and two Canadian provinces.

Canadian National reported a 19 percent increase in profit for the third quarter 2011 versus the third quarter 2010.

CN said a 4 percent increase in carloadings and a 9 percent increase in revenue, coupled with “rigorous cost control” drove its higher third quarter earnings.

CN’s third quarter 2011 operating ratio of 59.3 percent improved from the 60.7 percent operating ratio during the third quarter 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 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’s third quarter 2011 profit fell by 5 percent versus third quarter 2010.

CP’s third quarter 2011 operating ratio deteriorated to 75.8 percent, more than two percentage points higher than its 73.7 percent operating ratio for the third quarter 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.

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

CSX reported a 12 percent increase in profit for the third quarter 2011 versus the third quarter 2010, much of it the result of higher freight rates as traffic volume slowed.

The railroad said higher fuel surcharges improved its bottom line, offsetting higher costs. CSX said also that its earnings were helped by increased coal exports to China that offset a weakness in domestic coal shipments. Coal accounts for some 33 percent of CSX revenue.

CSX’s third quarter 2011 operating ratio deteriorated to 70.4 percent versus 69.1 percent for the third quarter 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.

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


Kansas City Southern reported a 99 percent improvement in profits for the third quarter 2011 versus third quarter 2010, driven by higher freight rates and a record level of carloadings, boosted through increased production of automobiles in Mexico destined for U.S. markets.

“These achievements are all the more impressive given the operating challenges caused by prolonged flooding in the Midwest, particularly along the Missouri River,” said CEO David Starling. “The flooding resulted in the closure of a primary rail line into Kansas City from mid-June through Labor Day, which significantly disrupted grain and coal traffic.”

KCS’s operating ratio of 66.6 for the third quarter 2011 was a sharp improvement from the 73.5 percent in third quarter 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.

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 24 percent increase in third quarter profit versus third quarter 2010, citing increased freight rates and a 23 percent boost in coal hauled for export.

The third quarter produced for NS “all-time records for income from operations and earnings per share, while also establishing third-quarter records for net income and operating ratio,” said NS CEO Wick Moorman.

The NS third quarter 2011 operating ratio of 67.5 was a third-quarter record low and 2.1 percentage points below its third-quarter 2010 operating ratio of 69.6 percent. 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 operates some 20,000 route miles in 22 states and the District of Columbia.

Union Pacific reported a 16 percent increase in profits for the third quarter 2011 versus third quarter 2010, citing price increases and fuel surcharges in the face of a sluggish economy, weather-related difficulties in parched Texas and sharply higher fuel prices.

UP’s operating ratio of 69.1 percent for the third quarter 2011 was slightly higher than the record 68.2 percent operating ratio it posted in the third quarter 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.

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

As BNSF is now privately held, it does not report its earnings.

Canadian National:

Canadian National Railway July 25 reported an 8 percent increase in profit for the second quarter 2011 versus the second quarter 2010, citing a 10 percent increase in intermodal loadings (trailers and containers on flat cars) and a 14 percent increase in intermodal revenue.

CN’s second quarter 2011 operating ratio of 62.3 percent showed little change from the 61.2 percent for the second quarter 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.

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 Railway’s second quarter 2011 profit fell by 23 percent versus second quarter 2010, owing to widespread and prolonged flood disruptions, said the carrier.

CP’s second quarter 2011 operating ratio of 88.8 was four percentage points higher than the operating ratio for the second quarter 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.

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

CSX:

CSX July 19 reported a 22 percent increase in profit for the second quarter 2011 versus the second quarter 2010, much of it the result of higher freight rates as traffic volume slowed.

CSX said the improved profits will allow $2.2 billion in spending to make improvements to its tracks, yards and signals, and purchase additional locomotives and freight cars. The railroad also said it will increase employment by 4 percent in 2011, double its proposed headcount increase announced earlier in the year.

CSX’s second quarter 2011 operating ratio declined to 69.3, versus 7.2 for the second quarter 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.

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

Kansas City Southern:

Kansas City Southern July 21 reported a 19 percent improvement in profits for the second quarter 2011 versus second quarter 2010, driven by improved auto, intermodal and coal traffic as it established records for the number of carloads handled.

Its operating ratio of 71.7 was almost a full percentage point better than its operating ratio in the second quarter 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.

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 July 26 reported a record second-quarter profit – a 42 percent improvement for second quarter 2011 versus second quarter 2010. The railroad cited increased intermodal traffic (trailers and containers on flat cars) and coal loadings as significant contributors to the improved earnings.

The NS second quarter 2011 operating ratio of 69.5 percent was slightly improved from the 69.9 percent for second quarter 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.

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

Union Pacific:

Union Pacific July 21 reported a 10 percent increase in profits for the second quarter 2011 versus second quarter 2010, citing prices increases and an 11 percent increase in chemicals and agricultural carloads. The railroad said it was the best-ever quarterly earnings.

UP’s operating ratio of 71.3, however, was 1.9 percent higher than second quarter 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.

UP said it plans to hire some 4,500 new workers by the end of 2011 – 3,000 to replace those retiring and 1,500 to new positions.

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

 As BNSF is now privately held, it does not report quarterly earnings.

Football season is long over. The New York Jets never made it to the Super Bowl. National Football League players are locked out by their owners. The upcoming football season could be in jeopardy.
And how about Norfolk Southern conductor and former Jets defensive back Keith Fitzhugh, who last fall turned down a Jets’ offer to return to the team in favor or being a conductor?
“I’m so happy,” Fitzhugh, age 24, recently told The Associated Press. “It turned out just right for me.”
When we previously visited with Fitzhugh last fall, he had spurned the Jets’ offer and was in conductor training. Many called his decision to stay with NS “crazy.”
Job security and a steady income were and are more important to Fitzhugh, especially in an economy where jobs are scarce and good benefits even more scarce.
Indeed, some of his former – and now locked-out – NFL teammates, have asked Fitzhugh if they could get him a similar job on Norfolk Southern, reported the Associated Press. “They’re, like, ‘Hey, Keith, if this doesn’t work out for me …’ and I just tell them, ‘Just go ahead and apply, just like I did,'” he told the Associated Press.
“No big-name guys,” Fitzhugh told the Associated Press, “but guys who are straddling that line like I was. When they hear about what I do, it’s kind of exciting to them, too, because you turn into a kid all over again. You’re riding a train that has 4,000 or 5,000 horsepower and you really can get into the thrill of it. It’s a fun job, man.”
Fitzhugh is now a full-time conductor and member of UTU Local 511 in Atlanta, and most often working a run between Atlanta and Chattanooga, Tenn. He resides in Hampton, Ga.
Could Fitzhugh eventually return to the NFL? He told the Associated Press that NS officials promised him a leave of absence if another opportunity presented itself. “I’m still young and I keep my body in shape,” he told the Associated Press. “I don’t know if the opportunity will ever come with this lockout, but I can’t say yay or nay. You never know who might call me and give me an opportunity.”
“For me, having job security is important,” Fitzhugh told the UTU News last fall when he made the decision to stay with NS. “I was released three times [twice by the Jets, once by the Baltimore Ravens]. There is no job security [in the National Football League]. Why risk losing a good job with Norfolk Southern? I have buddies with two degrees who can’t find a job.
“Working for Norfolk Southern is one of the best prestigious jobs you can have,” Fitzhugh told the UTU News last fall. “I have to look out for what’s best for me and my family. I think riding on a locomotive is one of the coolest things.”

 
 
 
 
 
 
 
 
 
                                 Fitzhugh

Most major North American freight railroads reported strong earnings for the first quarter 2011 versus first quarter 2010.

Following is a wrap-up for the quarterly earnings reported by the railroads to the investment community.

Not included is BNSF, which is privately held and does not report its financial results to the investment community.

Mention is made of each railroad’s 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 higher is profit.

Canadian National

Canadian National reported a 31 percent increase in first quarter 2011 profit versus first quarter 2010. This comes following a 19 percent increase in CN profit for calendar year 2010.

CN’s operating ratio for the first quarter 2011 was 69 percent, slightly better than the 69.3 percent reported for first quarter 2010. The railroad’s fourth-quarter 2010 operating ratio was 63.6.

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 Railway was the only major North American rail system reporting a drop in profit for the first quarter 2011 compared with first quarter 2010. CP cited severe winter weather as the cause of its profit decline.

CP’s calendar-year 2010 profit increased by 39 percent.

The railroad’s first quarter 2011 operating ratio soared to 90.6 compared with 82.3 in the first quarter 2010. CP’s fourth quarter 2010 operating ratio was 77.6.

CP said its 15,143 employee count increased by 613 during the quarter, but gave no indication of whether it would add employees the remainder of 2011.

First quarter 2011 train speeds fell by almost 14 percent and the number of train accidents soared by 57 percent — both attributed to a dramatic increase in the number of avalanches in the Canadian Rockies and winter-long blowing snow throughout CP’s North American rail network.

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

CSX

CSX profit jumped 30 percent during the first quarter 2011 versus the first quarter 2010, the railroad reported April 19. This comes on the heels of a 35 percent improvement in operating profit for calendar year 2010.

The CSX employee headcount rose in March to 30,464 employees, up 3 percent from March 2010, the railroad said.

The CSX operating ratio for the first quarter 2011 was a record low 72.5 for any first quarter. The fourth quarter 2010 CSX operating ratio was 71.1.

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

Kansas City Southern

Kansas City Southern’s first-quarter 2011 profit was almost double that of the first quarter 2010. This followed an 82 percent increase in profit for calendar-year 2010.

The employee headcount remained constant at 6,080. The railroad did not indicate whether it would be increasing its headcount in 2011.

The KCS first quarter operating ratio declined significantly, from 75.2 percent the first quarter 2010 to 73.8 for the first quarter 2011. The railroad’s fourth-quarter 2010 operating ratio was 73.2.

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 26 percent increase in profit for first quarter 2011 versus first quarter 2010. This follows a 45 jump in NS profit for calendar-year 2010.

NS said it would add some 1,100 new workers during 2011, returning employment to the same level as in 2008.

NS operating ratio for first quarter 2011 was 77.1 percent, higher than the 75.2 percent in the first quarter 2010, owing, in part, to severe winter weather. The fourth-quarter 2010 NS operating ratio was 71.9 percent.

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

Union Pacific

Union Pacific profit rose 24 percent in first quarter 2011 compared with first quarter 2010, This follows a 47 percent jump in Union Pacific profit for calendar-year 2010.

UP said the railroad would increase its 43,000 employee headcount by about 4,500 in 2011.

The railroad reported a best-ever first quarter operating ratio of 74.7 percent — one of the more difficult for railroads because of winter weather. The fourth quarter 2010 UP operating ratio was 73.2.

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

Norfolk Southern reported a 26 percent increase in profit for first quarter 2011 versus first quarter 2010. This follows a 45 jump in NS profit for calendar-year 2010.

NS CEO Wick Moorman said the railroad intends to add some 1,100 new workers during 2011, returning employment to the same level as in 2008.

NS operating ratio for first quarter 2011 was 77.1 percent, higher than the 75.2 percent in the first quarter 2010, owing, in part, to severe winter weather. The fourth-quarter 2010 NS operating ratio was 71.9 percent.

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 higher is profit.

Moorman told Wall Street analysts, “We see continuing opportunities for growth in almost every segment of our business, and we’re optimistic about our prospects for the balance of 2011.”

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