House passes with 290 Yeas and 137 Nays
Senate vote date undecided
Biden urges "Swift Senate Action"

Photo by AP Yonhap News

Photo by AP Yonhap News

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[Asia Economy Reporter Yujin Cho] A forced law to prevent a nationwide strike by the U.S. railroad union has passed the House of Representatives and been transferred to the Senate. Concerns over economic difficulties have acted as common ground for both parties, making bipartisan passage highly likely. However, some observers say it is still too early to be assured of the strike's withdrawal, depending on Congress's judgment on the paid sick leave clause that the railroad union insists on as a negotiation condition.


According to U.S. political media Politico and others on the 30th (local time), the House voted on a bill to enforce an agreement to prevent a possible railroad strike, passing it with 290 votes in favor and 137 against. The bill voted on that day enforces the tentative agreement prepared by labor and management under White House mediation in September.


At that time, the railroad employers and the leadership of 12 major railroad unions prepared a tentative agreement, but the agreement was rejected in votes by 4 unions. The tentative agreement includes a 24% wage increase over the next five years and an annual bonus of $1,000 (approximately 1.32 million KRW at the current exchange rate). The unions warned that if no agreement is reached by the 9th, the 12 railroad unions will launch a full strike.


The House vote was carried out at the strong request of President Joe Biden. The day before, President Biden met with congressional leaders including House Speaker Nancy Pelosi, Senate Majority Leader Chuck Schumer, Republican Senate Minority Leader Mitch McConnell, and House Minority Leader Kevin McCarthy to urge the passage of a bill to prevent the railroad union strike.


If the railroad strike materializes, supply chain disruptions will worsen, dealing a fatal blow to inflation, which is at its highest level in 40 years. The U.S. government estimates that a railroad union strike would paralyze about 30% of U.S. freight shipments and cause daily losses of $2 billion to the U.S. economy by fueling already soaring inflation.


After the House vote, President Biden stated in a press release, "(If the Senate does not vote this week) the railroads could begin to halt the movement of critical materials such as chemicals used to purify drinking water as early as this weekend," warning that "the ability to bring cars to market, food to tables, and remove hazardous waste from oil refineries will begin to be disrupted."


The inclusion of a paid sick leave clause remains a major issue. The railroad union demanded a guarantee of 15 days of paid sick leave when the tentative agreement was reached, but the agreement only included an additional one day of personal paid leave. Accordingly, the House is holding a vote on a plan to provide 7 days of paid sick leave.


House Speaker Nancy Pelosi said, "I know there is more to be done for railroad workers," adding, "No one should risk losing their job because they have to stay home when they are sick enough to see a doctor or have surgery."


Railroad employers and the U.S. Chamber of Commerce oppose amendments to the tentative agreement. President Biden has requested Congress to implement the tentative agreement without modifications. The House plans to send the bill, including the results of the paid sick leave vote, to the Senate. The Senate vote date has not yet been set.



If no agreement is reached, the U.S. railroad system is likely to come to a halt due to a strike starting on the 9th. This would be the first railroad strike since 1991.


This content was produced with the assistance of AI translation services.

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