BNSF to lift California permit embargo next month

BNSF Railway Co. yesterday announced it will end a temporary California permit embargo on Sept. 4.

The embargo enabled BNSF "to significantly reduce backlogs and drive greater efficiencies" for its trains moving toward and in California and throughout its network, the Class I stated in a customer notification on its website.

"This embargo was one of several actions to improve network fluidity in Southern California. As a result, we have seen decreased congestion and increased velocity as network conditions are improving," the notice states.

BNSF will continue working with individual customers "as necessary to manage traffic flows."

Meanwhile, BNSF officials also commented on the Presidential Emergency Board's recommendations issued earlier this week in an effort to help resolve the labor contract dispute between the nation’s major freight railroads and the unions that represent rail employees. The two sides now have until Sept. 16 to accept the recommendations or agree to a voluntary settlement involving other terms. No work stoppages can occur until after Sept. 16.

The board’s recommendations include "the most substantial wage increase in nearly 40 years," BNSF officials said in a customer notification.

"Even though the recommendations significantly exceeded those proposed by the carriers during this bargaining round and are far above the terms in prior settlements, BNSF is prepared to accept the recommendations brought forward by the PEB," the notification states. "We believe it is in the best interests of our customers, employees and the public for the railroads and rail labor organizations to settle this dispute without delay and prevent service disruptions."