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Teamsters Oppose $85 Billion Union PacificNorfolk Southern Merger as STB Filing Nears

The unions’ break with the deal steers the proposed coast-to-coast carrier toward a stringent Surface Transportation Board review.

Overview

  • The Teamsters Rail Conference’s BLET and BMWED said they will fight the merger, representing nearly 20,000 workers and more than half of the unionized employees at the two railroads.
  • Union leaders cite heightened safety risks, higher shipping costs and job insecurity, saying executives—particularly at Union Pacific—refused to make binding commitments after months of talks.
  • Union Pacific and Norfolk Southern are expected to submit a formal application to the Surface Transportation Board this week, triggering a public‑interest review that requires demonstrable competitive benefits.
  • The $85 billion tie‑up would create the first U.S. coast‑to‑coast railroad, won shareholder approval of over 99% in November, and secured SMART‑TD’s endorsement after job‑protection guarantees.
  • Analysts estimate a combined carrier could handle more than 40% of U.S. freight, intensifying opposition from BNSF and shipper groups, while Union Pacific says every union job at closing would be retained.