Posts Tagged ‘buyouts’

Amtrak Eyeing Forced Furloughs

July 28, 2020

Amtrak is expected to furlough an unspecified number of employees after more than 500 workers agreed to accept a buyout offer.

Spokeswoman Christina Leeds told Trains magazine that the buyouts were “not enough to achieve the cost savings we are going to need in fiscal 2021.”

She said Amtrak management is evaluating which management positions it wants to eliminate and it is “very likely” that some union workers will be furloughed.

Amtrak said that 4,369 of its employees were eligible for a one-time payment if they agreed to leave the company.

The buyouts to 284 union workers and 227 managers will average about $33,000 apiece.

Leeds said that puts the total expenditure for buyouts at $16.83 million.

Trains said it obtained an internal company list that showed the breakdown by position of those taking buyouts.

It included 357 in the operations; 37 in administration; 22 in information technology; 17 in safety, health, and environmental; 15 in finance; 15 in human resources; seven in general counsel and corporate secretary; five in strategy and planning; and two in government affairs and corporate communications.

The degree of further furloughs could hinge on how much money Amtrak receives from Congress for fiscal year 2021, which begins Oct. 1.

The House of Representatives has approved a budget bill appropriating $10.05 billion for Amtrak with the proviso that no workers be laid off and that long distance trains now operating daily would continue to do so.

The Senate has yet to act on that bill and given how past appropriations have played out Congress may pass one or more continuing resolutions to keep the federal government operating in the next fiscal year until it reaches agreement on appropriations.

It is unclear what a continuing resolution, which typically funds government programs at the level approved in the past fiscal year, would mean for Amtrak’s workforce and the operation of long distance trains.

Amtrak has said it expects revenue in fiscal year 2021 to be 50 percent of what it was before the COVID-19 pandemic struck.

It cited that for planning to furlough 20 percent of its workforce and to reduce most long distance trains to tri-weekly operation.

Trains also reported that on July 14 Amtrak implemented a management restructuring whereby all operating, government affairs, and revenue-generating departments now report to CEO William Flynn through Stephen Gardner, executive vice president and chief operating and commercial officer.

Directly reporting to Flynn will be officers in charge of safety, finance, human resources, legal, and information.

Amtrak Offering Managers, Employees Buyouts

October 27, 2017

Amtrak is offering a buyout of managers and employees not covered by a union contract.

Employees must have been with the company for at least a year and must declare their intention to take it between Nov. 6 and 17.

Those approved for the buyout will leave their post by Dec. 31 although some workers may be asked to stay for a transition period.

The buyouts will be paid in a lump sum ranging from $15,000, up to a maximum of two weeks gross pay for each year of service, up to 26 weeks gross pay.

Amtrak has indicated that it is trying to reduce its employment count and if not enough employees agree to a buyout it will lay off employees starting in January.

All employees taking buyouts or who are laid off are expected to be gone from Amtrak by the end of January.