Biden names PEB in rail labor dispute

President Joe Biden has named the Presidential Emergency Board that will investigate the dispute between the nation's largest rail carriers and rail unions.

On July 16, Biden signed an executive order to establish the PEB. The deadline for him to do so was today. The president's action affects the railroads represented in contract negotiations by the National Carriers' Conference Committee (NCCC) of the National Railway Labor Conference, and the rail employees represented by certain labor unions. 

Biden named to the board Ira Jaffe, as chair, and members David Twomey and Barbara Deinhardt, reuters.com reported.

Establishing the board delays a strike or lockout for 60 days. The board has 30 days to investigate the differences between the parties and report recommendations for settling the dispute to the president. The recommendations are nonbinding. After the PEB reports to the president, the railroads and unions have a 30-day cooling-off period to consider the recommendations and reach a settlement.

"We anticipate the PEB will hold hearings in the coming weeks and issue a written report, including settlement recommendations, in mid-August," NCCC officials said in a press release.

The Association of American Railroads welcomed the news.

"On average, railroaders earn $135,000 annually in total pay and benefits, which is higher than the average compensation of industries that employ 94% of the U.S. workforce," said AAR President and CEO Ian Jefferies in a prepared statement. "Railroads remain committed to reaching an agreement that provides their employees well-deserved compensation increases that keep them among the best paid in the nation."

The rail unions negotiating as part of the Coordinated Bargaining Coalition also welcomed the PEB's appointment.

"The rail unions remain united in their efforts, and are now working together in preparation of a unified case representing the best interests of all rail employees before the Presidential Emergency Board," the unions said in a prepared statement. "Our unified case will clearly show that the unions’ proposals are supported by current economic data and are more than warranted when compared to our memberships’ contribution to the record profits of the rail carriers."