This agreement is the latest in a series of national pattern agreements forged between railroads and unions in the first three months of the national bargaining round; it follows a tentative pact between the NCCC and Brotherhood of Maintenance of Way Employes Division of the Teamsters Rail Conference that was announced Jan. 23.
The agreement for IBEW, which represents approximately 3,500 freight railroad workers, is subject to ratification. It reflects terms consistent with the pattern established through more than 50 other local and national agreements, including national contracts that have already been ratified for the American Train Dispatchers Association; International Association of Sheet, Air, Rail and Transportation Workers’ Mechanical and Engineering Department; National Conference of Firemen & Oilers; Transportation Communications Union; and Brotherhood of Railway Carmen.
The terms provide:
- “Wage increases of 18.8% over five years. Based on current inflation projections, this will translate to real wage growth for covered railroaders with pay certainty for the life of the contract.
- “Enhancements to world-class health and welfare benefits with no increase to the employee contribution rate. In 2025, health care premiums will decrease to about $277/month, well below the national average of more than $500/month for employer-provided family coverage.
- “Access to more paid vacation time for employees earlier in their careers.”
“This new agreement reflects the IBEW’s commitment to ensuring that jobs in the freight rail industry are good jobs that provide economic security for our members and their families,” IBEW International President Kenneth W. Cooper said. “Thanks to the hard work of railroad members, we are winning stronger contracts that recognize the value they bring to the nation.”
“We’re grateful for the close collaboration with our IBEW partners as we work to build a stronger future for freight rail employees and railroads,” NCCC and National Railway Labor Conference (NRLC) Chairman Jeff Rodgers said. “This continued progress shows that we can work together to invest in employees while supporting railroads’ long-term growth and stability.”
The NRLC is an association representing all U.S. Class I railroads and many smaller freight and passenger lines. Through its NCCC, NRLC leads national negotiations with the 12 major rail labor organizations*.
Background
The national bargaining round began with the exchange of Section 6 notices on Nov. 1, 2024. “Early local agreements between several rail carriers and unions set the stage for this progress, establishing a clear pattern that prioritizes employee needs while strengthening the freight rail industry’s ability to provide safe, reliable service,” according to NRLC. “Building on the historic 24% wage increase from the 2022 bargaining round, the terms of the BMWED agreement represent the industry’s ongoing efforts to provide competitive compensation and benefits to employees. These agreements are projected to increase wages for covered employees by nearly 50% (compounded) between 2020 and 2029.”
Download below a list of carriers and unions participating in national handling. Carriers that reached an early local agreement covering a particular craft do not participate in national bargaining with respect to that craft. Additional information about the bargaining round is available at RailNegotiations.com.
* The unions are: International Association of Sheet Metal, Air, Rail and Transportation Workers – Transportation Div. (SMART-TD & SMART-TD-YDM); Brotherhood of Maintenance of Way Employees (BMWE); Brotherhood of Locomotive Engineers & Trainmen (BLET); Brotherhood Railway Carmen (BRC); Brotherhood of Railroad Signalmen (BRS); International Association of Machinists and Aerospace Workers (IAM); International Brotherhood of Electrical Workers (IBEW); Transportation Communications International Union (TCU); National Conference of Firemen and Oilers (NCFO); American Train Dispatchers Association (ATDA); International Association of Sheet Metal, Air, Rail and Transportation Workers (SMART); and International Brotherhood of Boilermakers, Blacksmiths, Iron Ship Builders, Forgers and Helpers (IBB).
