Author Topic: NS pending acquisition of the former D&H rail line will cause “minimal” layoffs  (Read 965 times)

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Norfolk Southern’s pending $217 million acquisition of the former D&H rail line will cause “minimal” layoffs at rail yards from Binghamton to Plattsburgh, according to railway officials.

Canadian Pacific Railway, the D&H parent, filed layoff notices for 165 workers, but railway representatives said many of the employees covered by the notices will be offered similar positions by Norfolk Southern.

“We expect minimal impact to total employment,” said Andrew Cummings, media relations manager for CP Rail in Minneapolis, Minnesota.

In Binghamton, 102 workers were listed as affected. Another 11 were listed in Oneonta. But a limited number of those employees will actually be idled in the transfer of ownership, Cummings said.

Cummings said the company was “obligated” to issue Worker Adjustment and Retraining Notification Act notice because of the regulation’s requirements. He said most of the workers will be transferred to Norfolk Southern operations and a few will be out of a job as the new employer adjusts the work force.

Who will be affected and where the layoffs will come at the eight New York D&H facilities is presently unknown.

Under terms of the transaction announced in November, Norfolk Southern will acquire 283 miles of D&H rail line between Sunbury, Pa. and Schenectady. Canadian Pacific bought the ailing D&H in bankruptcy proceedings in the late 1980s.

Norfolk Southern said it intends to increase rail service along the Southern Tier line.