Biden signs bill averting rail worker strike despite lack of paid

President Joe Biden signed a bill into law making a rail strike illegal, preventing workers from walking off the job weeks before the holiday season.

After his administration aided in negotiations for months, and the sides reached a tentative agreement in September, talks ultimately stalled and rail workers threatened a strike. Biden then asked Congress to intervene, and the Senate passed a bill Thursday making a strike illegal.

The initial agreement brokered by the Biden administration was accepted by all but four rail unions, who were holding out for guaranteed paid sick leave days. The opposing unions, though, represent the majority of rail workers. The workers and companies had until Dec. 9 to reach an agreement before they vowed to strike, which the industry estimated would cost the U.S. economy $2 billion per day.

A strike by rail workers so close to the holiday season — and in a period of high inflation — could potentially devastate the economy. Biden was adamant that Congress send the legislation to his desk by Saturday. Without an agreement, rail movement of certain goods was set to be curtailed as soon as this weekend in preparation for the strike.

Railroad carriers begin prepping for a strike seven days in advance, according to federal safety measures. The carriers start to prioritize the securing and movement of sensitive materials such as chlorine for drinking water and hazardous materials.

Ninety-six hours before a strike date, chemicals are no longer transported. The American Chemistry Council found a drop of 1,975 carloads of chemical shipments during the week of Sept. 10, when the railroads stopped accepting shipments due to the previous threat of a rail strike.

The four major railroads also typically move more than 80% of the agricultural freight traffic, according to the National Grain and Feed Association.

Congress has the authority to regulate interstate commerce under Article 1, Section 8 of the Constitution, and the Supreme Court has ruled it can use that authority to intervene in disputes by rail labor that have the potential to affect trade across state lines. A nearly century-old law, the Railway Labor Act of 1926, gives the president the authority to intervene as well in situations where a rail strike could significantly affect essential transportation. The act has been invoked 18 times since it was signed into law.

The House on Wednesday approved a separate measure that would have added seven days of paid sick leave to the contract instead of just one. That measure was defeated in the Senate vote.

The situation put “union Joe” Biden in a difficult position. Biden said Thursday that he supports unions as much as ever, but as president of the United States, rather than a single…