A plan to help get stalled railroad contract talks moving contains a proposal of raises and bonuses.
The plan was put forth by a board appointed by President Biden in an attempt to avert a strike.
The proposal calls for 115,000 rail workers to get 24% raises and thousands of dollars in bonuses.
Railroads and unions will include those recommendations in a new round of negotiations over the next month.
Federal law would allow a strike or lockout, if the two sides can’t agree on a new deal by mid-September.
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Congress is expected to step in at that point to keep the supply chain moving.
A railroad strike could devastate businesses that rely on Union Pacific, BNSF, Norfolk Southern, CSX and other major freight railroads to deliver raw materials and ship their products.
The report was distributed to the parties on Tuesday, and The Associated Press obtained a copy of it, but the railroads and the unions didn’t immediately comment on any details.
The railroads entered the Presidential Emergency Board process a month ago far apart from the 12 unions taking part.
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A total of 12 unions are involved and have been seeking a 31% raise over the five years while the railroads were offering only 17% in compounded raises.
The unions are also concerned about rising health care costs in a new contract.
Besides the wage increase and bonuses, the report recommends adding an additional paid day off each year and keeping the same health insurance plan, but having workers take on a larger share of the cost.
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Railroad workers have gone without a raise since 2019.
The Associated Press contributed to this report.