Rail union that rejected deal signs new tentative agreement

By JOSH FUNK
AP Business Writer

OMAHA, Neb. (AP) — A union that rejected its deal with the nation’s freight railroads earlier this month now has a new tentative agreement. But officials cautioned that the contract dispute won’t be fully settled until all 12 rail unions approve their agreements this fall. The five-year deal announced Tuesday includes a 24% pay raise and $5,000 in bonuses that were in the first deal along. It also has a couple of additional benefits, including a cap on health insurance expenses and a promise that each railroad will negotiate individually over expense reimbursement. Officials with the International Association of Machinists and Aerospace Workers said they hope those enhancements will be enough to pass the agreement.