In an article published recently, it has been reported that another union in Norfolk Southern, known as BLET Teamsters, plans to support activist Ancora’s bid to replace seven board members and oust CEO Alan Shaw. This move comes after the railroad engineers’ union expressed dissatisfaction with management following recent strategic decisions made by top executives John Orr and Shaw.
Edward Hall, president of BLET Teamsters, stated that this decision was taken as a result of public comments from both executives regarding their strategy for NS. He further added that “a change at the top is needed.” The union’s initial stance in February had been to vote with management; however, they have since altered course after meeting and receiving support from Ancora CEO nominee Jim Barber as well as COO candidate Jamie Boychuk during outreach efforts.
Barber expressed his gratitude for the BLET Teamsters’ endorsement, stating that it is a privilege to receive their backing in light of their belief in Ancora’s plan aimed at improving performance, safety and employee relations at Norfolk Southern. Meanwhile, Boychuk also acknowledged the hard work put forth by all employees every day.
The BMWED Teamsters had initially opposed Ancora’s proposal earlier this year but later changed its stance as well. As a result of these endorsements from both unions representing roughly half of NSC’s unionized workers, approximately fifty percent of Norfolk Southern’s workforce is now supporting the activist campaign led by Ancora.
The shareholders’ meeting scheduled for May 9 will determine who gets elected to Norfolk Southern’s board; thus far, NS and some unions have spoken against adopting more traditional precision-scheduled railroading principles that Ancora has proposed. However, Shaw along with other regulators, customers, and officials believe implementing such a plan would be detrimental for the company following last year’s derailment in East Palestine, Ohio which resulted in significant operational changes being made by NS after regulatory approval was granted earlier this year.
Norfolk Southern could not immediately provide any comments on the latest endorsements from unions as reported by Ancora’s team at press time.
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