Post your comments here to talk about the incredible shrinking company UP. It is evident that the coal industry going south, the China trade war and the pandemic has caused this company to go into self destruction. Grasping at straws like precision railroad and ILP time standards. It is my opinion that this current railroad will not be able to compete against modern transportation like Amazon, FedEx and UPS. Modern transportation will take all the business in due time.
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The railroads aren't dead, but Union Pacific is dying, eventually they won't be able to keep customers when they don't have employees to service them.
Not really, u just mad
It’s possible that Amazon could buy a sinking railroad and become the worlds largest transportation company. Amazon has so much business that they have no choice but to contract outside like UP. The only reason UP has the contract is because FedEx gave up the contract from Amazon due to Amazon rising to compete against FedEx in transportation. The coal industry was 25% of the UP income. Today this is about 15% if even that. That’s a huge chunk off the pie. Not to mention the loss in Automotive and other sectors. It is of no wonder that the UP is getting close to life support or a buyout like the SP.
PSR is the main issue, the trade war and pandemic (which they used as a cover reason for the PSR mass layoffs) would have had an affect but not nearly as bad. For example during the 2008 recession it got bad but they still managed to keep from doing total company wide layoffs. Even the man that started the PSR nightmare said it’s not sustainable it’s a short term cash grab and that’s it. Thinking Amazon, FedEx, and UPS are going to take business is laughable because the company just bragged about the contract they got with amazon, the haul stuff for UPS, and as far as FedEx they could be hauling their stuff too. Those companies are a fraction of where the company draws its revenue from. UP gets most of its money hauling petroleum products, chemicals (that can’t be transported on main roads) , and coal.
No, the pandemic and the trade war were contributing factors at the UP. PSR is what got the ball of shlt rolling. Many people have already said this probably a hundred times already. The CEO didn't have to do it. He even opposed PSR at one time. He lied to his employees anyways and started it PSR. The trade war s—s, and the pandemic is even worse. PSR was a choice, not an obligation.