House passes rail contract as freight shutdown looms

The House voted Wednesday to head off a nationwide freight rail strike by imposing a contract opposed by tens of thousands of unionized workers — just days before the threatened work stoppage is likely to begin affecting the economy.

The action, which still needs a vote in the Senate, is meant to prevent a freight shutdown that would cost the U.S. an estimated $2 billion per day. But the deal doesn't address sick leave policies, a disappointment for unions that form one of Democrats' core constituencies.

The bill, H.J.Res 100, passed 290-137. Despite broad support, a handful of senators from both parties have said they will oppose the bill, a development that could delay final Senate approval for days. But the clock is ticking, and impacts of a potential rail shutdown will start being felt as soon as this weekend.

The House also passed, 221-207, a separate bill, H.Con.Res 119, that would add seven paid sick days to the agreement as a way to appease progressive Democrats who chafed at voting for a rail contract that was less than what workers wanted. Separating the bills also is a nod to the realities of the Senate, where the sick leave bill is certain to fail.

Congressional Progressive Caucus Chair Pramila Jayapal (D-Wash.) said in a statement that the paid sick leave vote was added to the floor schedule after conversations between House leadership, progressives and Transportation Chair Peter DeFazio (D-Ore.). Jayapal said any House-passed legislation on the contract agreement "will be accompanied by legislation that addresses the workers' long standing demand for fair paid leave."

DeFazio said both parties are no closer to a solution on paid sick leave than they were three years ago, which forced congressional action.

"I will proudly vote to lock in the tentative agreements and provide railroaders seven paid sick days," DeFazio said in a statement. "The CEO’s can take a shift in the rail yard to cover them."

Action now turns to the Senate, where Senate Majority Leader Chuck Schumer and Senate Minority Leader Mitch McConnell are trying to corral their caucuses toward a vote. Time is of the essence because though rail workers will stay on the job until Dec. 9, certain hazardous materials are likely to start being sidelined over the weekend to avoid being stranded.

The freight railroads estimate that a shutdown would cost $2 billion per day. A stoppage would imperil supplies for critical resources such as clean drinking water and force long-distance passenger trains and commuter trains off the tracks because they mostly run on freight rails.

Both Schumer and McConnell have said they support quick passage of a bill that would impose a contract and end the stalemate.

But some senators from both parties have said they plan to object. Sen. Bernie Sanders (I-Vt.) said he plans to force votes on the sick leave issue, while some Republicans such as Sen. Marco Rubio (R-Fla.) said they will vote against legislation that some rail workers do not support. Other Republicans have also criticized President Joe Biden, who helped negotiate the tentative contract agreement in September, for moving forward with an agreement that did not have the support of some rank-and-file union members.

Because of Senate procedure, one senator can slow the process down and force leadership to hold a series of long procedural votes to make any progress, even though most senators from both parties support legislation that would head off a rail shutdown.

Labor Secretary Marty Walsh will address Democratic senators on Thursday to explain “why this is the path forward,” Sen. Gary Peters (D-Mich.) said. Transportation Secretary Pete Buttigieg is also expected to address senators, according to an aide.

Rail worker unions and rail operators have been bargaining for years on a labor agreement, with major sticking points around paid sick leave, on-call policies and time off. Workers won significant pay raises and other victories in the tentative deal but paid sick leave was not one of them.

Despite the objections of some House progressives, Wednesday's vote on the tentative agreement was never seriously in doubt because a number of House Republicans said they planned to support the tentative agreement to avert a rail shutdown.

If the tentative agreement passes the Senate and becomes law, it means changes to sick leave policy that workers support will have to wait, or be addressed by Congress at a later date.

Burgess Everett contributed to this report.