Tags: rail strike | supply chain | commuters | manufacturing | holiday sales | inflation | wage-price spiral

Lauren Fix, The Car Coach: Rail Strike + Diesel Shortage Would Cripple Economy

Lauren Fix, The Car Coach: Rail Strike   Diesel Shortage Would Cripple Economy
A CSX freight train travels through Alexandria, Virginia. (AP)

Lauren Fix By Friday, 04 November 2022 11:39 AM EDT Current | Bio | Archive

You may have heard about the rail strike, and that the offer was so huge that the unions initially agreed to accept it. Then there is a looming shortage of diesel fuel in the Northeast looming over the economy.

Now we have a new wrinkle: The rail strike that could cripple the U.S. economy is back on the table because the U.S.’s third-largest railroad union rejected a deal with employers.

This rejection renews the possibility of a strike that could cripple the economy. Both sides will return to the bargaining table before that happens. The contract offer was huge; it was a five-year contract with a 24% raise in wages and $5,000 in bonuses. Yet over half of track maintenance workers represented by the Brotherhood of Maintenance of Way Employees Division voted to oppose it.

Union President Tony Cardwell said the railroads didn’t do enough to address the lack of paid time off (particularly sick time) and the working conditions of the major railroads. The major railroads have also eliminated nearly one-third of their jobs over the past six years.

So why does this matter to you?

The U.S. rail strike could cost $2 billion a day and spark commuter chaos for hundreds of thousands of commuter and cargo trains. Regional agencies are planning for stoppages, and Amtrak could again cancel long distance-service.

If you thought the pandemic of the last two years led to a lot of disruptions and shortages, think about what a nationwide railroad strike would do. If there is a strike, Congress (which in the past have ordered railroaders back to work) will remain paralyzed amid the usual partisan bickering, with Republicans bashing the unions and Democrats faulting management.

As labor and management try to hash out an end to the strike, Americans will feel the effects of product shortages for months.

To give you an idea of the impact the cost: a slice of pizza jumped from $3 to $5 amid looming flour shortages. Some heating oil companies, whose fuel is delivered by rail, will have low supply. This will increase prices, leaving customers no choice but to turn down their thermostats. If there is no product to build, factories will lay off workers. A strike will impact the shipment of goods for the Christmas and holiday shopping season — hitting both retail outlets and online sales.

This is a worst-case scenario for sure! No one is definitively predicting this outcome. But it illustrates how tremendously impactful a halt to rail traffic would be on the national economy.

Here’s the kicker: The union moved the vote to after the 2022 election. The biggest concern is if you offer unions a 24% raise, and they turn it down, that will be a statement to other unions to ask for even more, as well. This will increase labor costs and squash the economy, increase inflation, and result in more economic decline.

American consumers cannot afford a rail strike or a possible ensuing wage-price spiral. These massive increases in prices, will be transferred down to the cost of literally everything you buy.

If even one of the dozen rail unions voted down a contract and went on strike, the other units would likely honor that and stay off the job as well, causing a shutdown. Other unions are watching and will demand an equal increase in wages and benefits. This could be a nightmare.

There is so much more to discuss on this, put your comments below and let’s start the conversation.

There is so much more to discuss on this, put your comments below and let’s start the conversation.

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We will be reviewing all of the newest cars on our YouTube channel Car Coach Reports.

Video Link: https://youtu.be/wiOHSZIWue4

Additional articles on our website https://www.CarCoachReports.com

"LAUREN FIX'S GUIDE TO LOVING YOUR CAR” Book - https://amzn.to/3ifDi3j

Total Car Score Podcast ► Hosts: Lauren Fix, Karl Brauer and Javier Mota. https://www.revolverpodcasts.com/shows/total-car-score/

Lauren Fix, The Car Coach, is a nationally recognized automotive expert, media guest, journalist, author, keynote speaker and television host. A trusted car expert, Lauren provides an insider’s perspective on a wide range of automotive topics and safety issues for both the auto industry and consumers. Her analysis is honest and straightforward.

Lauren is the National Automotive Correspondent for Newsmax TV, a conservative news net carried in 23 countries and in over 35 million U.S. cable/satellite homes. She is also The Weather Channel and Inside Edition’s auto expert. Lauren Fix serves as a juror for the esteemed North American Car & Truck of the Year Awards (NACTOY).

Lauren is The Car Coach columnist for Parade Magazine and eBay Motors and writes a weekly column. She also appears weekly on USA Radio’s DayBreak USA.
Lauren is the president and founder of Automotive Aspects, Inc., a consulting firm with a wide range of multi-media services, including media consulting, broadcast messaging strategy, public relations and television production.

Lauren is the author of three books: most recently, Lauren Fix’s Guide To Loving Your Car with St. Martins Press, Driving Ambitions: A Complete Guide to Amateur Auto Racing, and The Performance Tire and Wheel Handbook.

Lauren’s broadcast experience includes Oprah, Live! With Regis and Kelly, The View, TODAY, 20/20, The Early Show, CNN, FOX News, FOX Business, MSNBC, HLN, TBS Makeover and a Movie, Inside Edition, ESPN, TBS, Discovery, Speed and NPR, to name a few. Lauren previously hosted four seasons of Talk 2 DIY Automotive on the Do-It-Yourself Network (DIY), was the National Automotive Correspondent for Time Warner Cable and hosted Female Driven on Lifetime TV.

Lauren’s articles and advice have appeared in USA Today, Good Housekeeping, Redbook, eBay, Woman’s World, Esquire, First for Women, InTouch and Self. She has also contributed content to Motor Trend, Truck Trend, Hot Rod, Car Craft and many other automotive publications.

Lauren is a member of the Society of Automotive Engineers (SAE), the Society of Automotive Analysts (SAA) and is an ASE (Automotive Service Excellence) certified technician. She inherited her love of all things automotive from her father, who owned a brake remanufacturing business and worked for many U.S. manufacturers. Lauren has been fixing, restoring and racing cars since the age of ten. She has been advising drivers almost all her life.

In addition to being a leader in positive consumer awareness and the automotive industry, Lauren is often asked to speak to groups around the world about her success in marketing, motivation, entrepreneurship, parenting and other lifestyle topics.

Lauren was named the 2015 WIN Award, 2013 SEMA Business Network “Mentor of The Year”; SEMA Business Network 2012 Woman of the Year; and awarded various Car Care Council “Automotive Communications Awards” in 2012, 2013 and 2014. Past awards include 2008 Automotive Woman of The Year and 2010 Woman of Distinction – Entrepreneur winner. Lauren Fix was inducted into the National Women and Transportation Hall of Fame in 2009 – a very high honor for a hard working automotive professional.

© 2024 Newsmax Finance. All rights reserved.

You may have heard about the rail strike, and that the offer was so huge that the unions initially agreed to accept it.
rail strike, supply chain, commuters, manufacturing, holiday sales, inflation, wage-price spiral
Friday, 04 November 2022 11:39 AM
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