CSX to cut 1,000 management jobs

CSX Corp. yesterday announced it will eliminate about 1,000 management employees "through an involuntary separation program" that will be completed by mid- to late March.

Enhanced separation benefits will be offered to those losing their jobs. A majority of the affected employees work in Jacksonville, Fla., across multiple locations and subsidiaries. However, some work in CSX's field organization will be affected, said company spokesman Gary Sease in an email.

"Upon further study and evaluation, we will know both the Jacksonville and field management employee impact," Sease said.

CSX's headquarters is located in Jacksonville.

The job cuts were announced at the same time CSX's board has been involved in discussions with hedge fund Mantle Ridge LP and former Canadian Pacific Chief Executive Officer E. Hunter Harrison about proposals that include Harrison becoming CEO of CSX. The board has scheduled a special shareholders' meeting to consider the proposals.

Also yesterday, CSX announced that its Chairman and CEO Michael Ward and President Clarence Gooden will retire effective May 31. Chief Sales and Marketing Officer Fredrik Eliasson has been appointed president effective Feb. 15, replacing Gooden, who will assume the role of vice chairman until his retirement.

Eliasson will maintain his current responsibilities in the new position. The changes are part of a senior leadership transition that CSX's board has been considering for more than a year, company officials said.