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Freightcar America Starts Up Talks Again

Posted: 11:29 am EDT September 21, 2007Updated: 2:48 pm EDT September 21, 2007

Over the past few months, Freightcar has laid off roughly 400 of its employees, leaving 20 or so working at the Johnstown railroad car plant. The company had said it was too expensive to operate the plant and instead moved the majority of production to its other locations around the country.

Friday trucks continued to be loaded up with production line equipment. A source at the plant said they are sending it to the Roanoke, Va., plant.

During the first round of talks, the company had asked employees to take cuts in their benefits, and the two sides couldn't agree on a deal. Former CEO John Carroll said he was finished talking with the union and that the plant would likely close. Now, with Carroll retired and a new CEO in place, Freightcar has approached the union again, wanting to talk out their differences.

While this may be a glimmer of hope for laid off employees, many are still skeptical, according to the source.

Tom McCarthy with Freightcar's Human Resource Department said, "The best way for the union and employees at the Johnstown facility to secure the future is to work under a collective bargaining agreement that provides for competitive wages, work rules, and benefits that are appropriate for today's marketplace. We hope that the union will accept this opportunity to engage in meaningful and productive bargaining."

Some employees at the plant said they believe this latest move is just a publicity stunt to make the company look good in the eyes of the community and paint the union as greedy.

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