Rail Update Alert

September 12, 2022

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STG Logistics is closely monitoring the rail situation. September 16th is the date on which the Railway Labor Act runs its course. On or after that date labor could decide to  strike or carriers may lockout, but that is not predetermined. To date, neither side has made any decision.

Due to ongoing discussions around a potential labor strike and/or carrier lockout, Norfolk Southern has announced today (September 12th) published plans for a controlled shutdown of their network. We have reached out to all other rail providers and have confirmation from the UP, CSX and KCS that they have no plans to restrict intermodal traffic at this time, but all recognized the situation is fluid and will keep us informed as the situation progresses. One has indicated they will be sending a notification out today to restrict hazmat materials and will likely announce bulk shipment restrictions Tuesday and Intermodal restrictions Wednesday if no agreement is reached. 

It is important to understand that rail contracts never expire but remain in force until amendments are voluntarily reached or Congress imposes a third-party settlement.
Ensuring your cargo arrives as planned is our priority. The STG contingency plan will include looking at alternative rail solutions, as well as moving IPI cargo over the road on any lanes that would be affected by a closure on the rail.   We need to keep the freight moving in our network and we will make that happen.

This is a fluid situation, and we will continue to keep you informed as the situation evolves.

Please reach out to your Account Manager or Customer Service representative with any additional questions.