Biden: Agreement to avert rail strike avoided ‘real economic crisis’

president Biden said An agreement between railway companies and union negotiators struck early Thursday morning averted a “real economic crisis”.

The agreement between the two sides came before the Friday morning deadline to avoid a freight railway He hits.

“The alternative was unthinkable,” Biden said. “In fact, if they went on strike, the supply chains in this country would have been blatantly disrupted. We would have experienced a real economic crisis.”

Biden made the comments during an interview with CBS’ “60 Minutes”, which is scheduled to air on Sunday.

The railway strike has been adjusted, and the initial agreement has been reached

President Biden talks about a preliminary agreement for the Railroad Union

President Biden speaks in the Rose Garden of the White House in Washington, DC on Thursday, September 15, 2022. (Jim Lo Scalzo/EPA/Bloomberg via Getty Images/Getty Images)

The American Railroad Association said the agreement reached early Thursday morning provides rail workers with a 24% increase in wages over five years from 2020 to 2024, in addition to an average payment of $11,000 upon certification. The group said the deal is temporary and subject to approval by union members.

Biden said during the interview that the two sides were able to reach a “fair” agreement for both.

“One of the things that happens in negotiations, especially if they are lengthy like this, is that people say and do things where pride is involved as well. And it’s hard to undo some of those things. So, what we did was just say, ‘Look, let’s take a look.’ Let’s take a look at what’s going on.” You’ve got a good deal for the work. Their income will go up 24% over the next five years. They’ve worked out the health care part setup, they’ve worked days off. And they both sat down, in my view, were in the office today saying, “” Well, we have finally fixed the problem. That’s fair on both sides.” “It took this time to focus,” Biden said.

After reaching an initial agreement, US Labor Secretary Marty Walsh said the two sides negotiated for more than 20 consecutive hours at the US Department of Labor.

AMTRAK to run full schedule on Friday after rail strike stopped

President Biden Delivers Philadelphia Speech September 1, 2022

President Biden speaks outside Independence Hall, Thursday, September 1, 2022, in Philadelphia. (AP Photo/Evan Vucci/AP Newsroom)

“After more than 20 consecutive hours of negotiations, railroad companies and union negotiators have reached an initial agreement that balances the needs of workers, businesses, and our nation’s economy,” Walsh said. “The Biden administration commends all parties for striking this difficult and mutually beneficial deal. Our rail system is an integral part of our supply chain, and the disruption has had disastrous effects on industries, travelers, and families across the country.”

The railway workers’ strike had far-reaching effects across the country US economywith the American Railroad Association estimating that the downtime could cost more than $2 billion a day in lost economic output.

Amtrak proactively announced On Wednesday, all long-distance trains will be canceled starting Thursday, indicating that they will only run trains with enough time to reach their destinations before a possible shutdown begins after midnight Friday.

Get your FOX business on the go by clicking here

Biden speaking at the White House

President Joe Biden talks about the Inflation Reduction Act of 2022 during a ceremony on the South Lawn of the White House in Washington, Tuesday, September 13, 2022. (AP Photo/Andrew Harnik/AP Newsroom)

On Thursday, Amtrak announced that it will operate a full schedule on Friday as a result of the initial agreement.

Ernie Sadashige of FOX Business, Jacqui Heinrich, Daniela Genovese and Ken Martin contributed to this report.

Leave a Reply

Your email address will not be published.