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Union Pacific to lay of 500 managers and 250 other workers
Posted: Wed Aug 16, 2017 3:48 pm
by csxcw46ah677
Hi everyone. I ran into this article today. UP apparently plans to conduct some layoffs. Are they following in the steps of CSX? I sure hope not, as we don't need two failing class I railroads in the US at once.
http://www.nydailynews.com/newswires/ne ... -1.3416221
Re: Union Pacific to lay of 500 managers and 250 other worke
Posted: Wed Aug 16, 2017 7:13 pm
by M.D.Bentley
csxcw46ah677 wrote:Hi everyone. I ran into this article today. UP apparently plans to conduct some layoffs. Are they following in the steps of CSX? I sure hope not, as we don't need two failing class I railroads in the US at once.
http://www.nydailynews.com/newswires/ne ... -1.3416221
WELL, that's how Penn Central ( not so successful ) and then Conrail ( much more successful ) came to be.
Re: Union Pacific to lay of 500 managers and 250 other worke
Posted: Wed Aug 16, 2017 7:59 pm
by redcrumbox
Is PTC hindering the recent attempts at cost savings? The rate of return on PTC was estimated to be between 45% and 160%. Is UP now projecting the lower end of that percentage since coal tonnage have gone the way of the dodo?
Re: Union Pacific to lay of 500 managers and 250 other worke
Posted: Wed Aug 16, 2017 11:53 pm
by GreatLakesRailfan
It wasn't that long ago I was getting an earful about how UP didn't want the traffic that was available and it was impossible to hold a regular job close to home (from a close friend who works for UP). Apparently UP had raised their rates on certain commodities and traffic levels had fallen off. Maybe the layoffs have something to do with the traffic that went away as a result, especially if UP doesn't feel the need to handle certain types of traffic that may require more available managers to effectively move over the road. If they don't want the traffic back, why keep the people who were responsible for managing the resources necessary to keep that traffic moving?
Re: Union Pacific to lay of 500 managers and 250 other worke
Posted: Thu Aug 17, 2017 12:37 pm
by csxcw46ah677
redcrumbox wrote:Is PTC hindering the recent attempts at cost savings? The rate of return on PTC was estimated to be between 45% and 160%. Is UP now projecting the lower end of that percentage since coal tonnage have gone the way of the dodo?
I am not sure off hand, but I would assume the answer to this question could be yes, especially considering that coal is kind of capped, or peaked, at the moment.