BMWED Secures Tentative Agreement with Union Pacific Published: Jul 22 2025 3:28PM
UntitledThe Brotherhood of Maintenance of Way Employes Division (BMWED) has reached a tentative agreement with Union Pacific that includes significant wage increases, enhanced vacation accrual, improved health and welfare benefits, and key reforms to work rules. This deal, pending ratification, would extend to Dec. 31, 2029.
Under the new agreement, which follows the national pattern, BMWED members will receive a compounded total of 18.5 percent in general wage increases over five years. The raises (effective July 1 of each year) are structured as follows:
The tentative agreement also includes enhancements to vacation policies following the national pattern. New hires will now earn up to five days of pro-rated paid vacation in their first year. Longer-tenured employees will gain faster access to extended vacations, with three, four, and five-week vacation milestones reached after 6, 15, and 23 years of service, respectively, compared to later milestones in the prior agreement.
Additionally, health and welfare benefits see significant upgrades under the tentative agreement. Employee contribution rates for health plans will remain capped at 15 percent, even beyond 2030. Dental benefits have been improved, with the annual maximum increasing from $1,500 to $2,500 and the orthodontia lifetime maximum rising from $1,000 to $2,500. Vision benefits now include a frame allowance of $250 every two years, up from $115. A new lower-cost, HSA-eligible insurance option for employee-only coverage has been introduced, and the plan now covers vasectomies and extends coverage for surviving dependents by six months following an employee’s death.
The tentative agreement expands bereavement leave to include grandparents, grandchildren, domestic partners, half/step siblings, stepparents, and stepchildren, ensuring workers can take time to grieve for a broader range of family members.
The agreement also includes on-property enhancements to various work rules important to our members. The details of these enhancements will be discussed on upcoming Zoom Town Halls, dates of which will be set soon and announced promptly. Additionally, BMWED representatives will be in the field over the next three weeks during the ratification process.
“The tentative agreement reflects BMWED’s commitment to improving wages, benefits, and working conditions for its members,” BMWED General Chairmen Brian Rumler (Unified System Division), Brian Thompson (Allied Federation) and Patrick Charters (Chicago & Eastern Illinois System Division) said in a joint statement. “As the ratification process moves forward, the Brotherhood encourages members to review the details and participate in the decision-making process. We want to thank the members on U.P. for their dedication and commitment to the bargaining process. Without your input, we could not have reached a deal. We urge you to stay involved in the ratification process.”
It should be noted that this bargaining round with Union Pacific included rank-and-file members present at the table as part of direct negotiations. Their input was invaluable and pivotal to reaching a tentative agreement.
“Sitting on the bargaining committee was an eye-opening experience and one that I am happy to have contributed and had a voice,” Brother Lee Ziegler, Lodge 899, said. “I’m glad that together we collectively were able to come to a resolution that advances our wages and benefits.”
The ratification vote will begin on July 31 and end on Aug. 21. Voting will take place online and additional information on that process will be forthcoming soon. Additionally, two town halls for BMWED U.P. members on the north and south properties will be scheduled in August, and those dates will also be announced shortly.
As a reminder, if you have recently relocated, changed addresses or are concerned that the BMWED may not have your correct contact information on file, please update it on our website at bmwe.org.
Additional information can be found at: www.bmwe.org/TA