Dear Valued Customer,
In preparation for a potential strike or slowdown this Friday (September 16) by the two largest railroad unions in the United States, virtually all U.S. freight railroads are either cancelling or reducing service on Tuesday. The cancellations and/or reductions are expected to remain in effect until the labor dispute is settled.
The announcement comes after the latest round of talks did not result in an agreement. While negotiations are ongoing, railroads are taking these actions in order to ensure that crews, equipment, and freight safely reach their destinations with minimal disruption should a labor action take place.
This labor issue comes as many gateway rail transfers like LA-Long Beach and inland hubs like Chicago, St. Louis, Dallas, Memphis, and Kansas City are already experiencing severe ground stacking and congestion. Any organized action can potentially halt rail cargo indefinitely. Rest assured, we have been monitoring the situation and are in constant contact with ocean carriers and their contracted railroad companies.
As a result, we are highly encouraging customers to reach out to their logistics experts for alternative shipping options to not just deal with this single issue, but to also begin adjusting and diversifying your supply chain to ensure that future issues only result in minimal disruptions.
In the meantime, if you have any questions about this situation and how it may affect your cargo, please feel free to contact your OEC customer service representative.