Norfolk Southern Reports Huge Rise in Profits
Norfolk Southern Corp. reported record profits in the second quarter of 2014 – but shareholders are more likely to be happy with the results than railroad workers.
The Virginian-Pilot reported on how the Norfolk-based railroad saw net income surge by 21 percent on the previous year to $562 million. The Pilot reported it was the first time revenue topped that level “in any quarter in the railroad’s history.”
The figures may prove to be a fillip for the local economy but are likely to put more strains on railroad workers. The report said operating efficiencies suffered as traffic increased. The average speed of Norfolk Southern trains slowed down to 21.8 mph in the last quarter from nearly 24 mph in 2013. New locomotives and workers are needed to cope with the increased demand.
Norfolk Southern executives are looking at adding another 900 employees to the company’s workforce by the end of 2014. CEO Wick Moorman told a recent press conference the last quarter had led to a surge in demand “the magnitude of which, quite frankly, none of us saw coming.”
A shift in container traffic from west coast ports to east coast ports is seen as one of the reasons for the increased business at Norfolk Southern.
As a railroad worker injury/FELA attorney, I’m well aware of the pressure railroads place on workers, particularly when a railroad is understaffed. Accidents on the railroad are often serious and can curtail or end the careers of workers. If you have been hurt on the railroad, call our railroad worker accident lawyers at 757.455.0077 or see CooperHurley.com. See these FAQs about what to do if you are injured on the railroad.