CSX Transportation Layoffs: Florida-Based Rail Company Cutting Hundreds of Jobs

Lafayette - Circa April 2017: CSX Locomotive Train. CSX operates a Class I railroad in the US VI
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700 CSX Transportation Layoffs Likely

CSX Transportation, a Jacksonville, Florida-based railroad company that primarily serves the eastern part of the United States and Canada,  has announced that more layoffs are in the cards.

The president and CEO of the company, Hunter Harrison, confirmed in the company’s earnings call a few days ago that a second round of layoffs is about to hit CSX workers. According to company spokesperson Rob Doolittle, as many as 700 employees may lose their jobs.

The first round of layoffs took place earlier this year; 2,300 employees have been cut loose by the company so far. Harrison hinted that, by the end of this year, the number of layoffs could hit 3,000.

In the first round of layoffs this year, in February, CSX announced about 1,000 cuts of management positions, most of which were in Jacksonville. Later, the company laid off another 1,300 employees across all of the 23 states where CSX operates.

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Doolittle has said that the current layoffs are not necessarily going to take place in Jacksonville.

CSX is currently undergoing a massive overhaul in which management is getting rid of redundancies in order to achieve companywide cost savings. Harrison is aggressively working on getting the railroad company back on track in terms of operational efficiency.

In the process, CSX is shutting down most of its railyards, taking locomotives and freight cars out of service, consolidating its dispatching services, and laying off thousands of employees who are not needed anymore.

In an e-mailed statement,  Doolittle said, “CSX is NOT just reducing headcount as a way of improving efficiency — we are changing the way the railroad operates…which is resulting in greater operational efficiencies [fewer trains moving more freight faster] which sometimes also results in a reduction in the number of employees required to operate the railroad.”

Like most other industries, technology and automation is altering the way the railroad sector operates. Fewer and faster trains are pulling freight across the North America. This has inevitably led to a decline in the need for a human workforce, causing many American workers to face layoffs.

 

Sources

CSX: Up to 700 more job cuts possible; CEO defends restructuring progress,” The Florida Times-Union Jacksonville, July 19, 2017.

CSX planning up to 700 additional layoffs,” First Coast News, July 20, 2017.

Company Overview,” CSX Transportation, last accessed July 20, 2017.

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