UTU NEWS  Vol. 32, No. 12 December 2000

UTU, others urge veto of fuel-tax repeal
CLEVELAND -- The UTU has joined with the leaders of 16 other labor organizations to urge President Clinton to repeal a bill which provides tax relief to railroads and barge companies.

H.R. 2614, which passed the House of Representatives in late October, contains provisions which repeal a 4.3-cent-per-gallon tax on diesel fuel used in the railroad and barge industries.

The repeal was added by the Republican leaders of the House Ways and Means Committee.

"For the record, we are totally opposed to this repeal," the leaders, including UTU International President Charles L. Little, wrote to Clinton.

"What a contrast in beliefs: providing a windfall tax repeal to the railroad industry while at the same time denying to hundreds of thousands of Americans in the Railroad Retirement System the passage of H. R. 4844, The Railroad Retirement and Survivors' Improvement Act of 2000, the first retirement improvements for rail workers in over two decades.

"Some 50,000 surviving spouses would have received an average $300 monthly increase in their pensions. Every railroad family would no longer have to face economic devastation upon the death of the worker.

"Those of us still on the job would have been able to retire with full pension and health and welfare benefits at age 60 with 30 years of service. And just as important as these benefit improvements is the fact that the system itself, for the first time, would have been protected by the carriers' guarantee to absorb any shortfalls," the leaders stressed.

"We are aware that there are items in H.R. 2614 acceptable to the White House and labor as well. The purpose of this letter is not to take exception to H.R. 2614 in its entirety, but to take exception to the repeal of the fuel tax.

"Accordingly, we urge you to do everything in your power to stop this repeal of tax on diesel fuel for the railroad industry," the letter read.

Also signing the letter were representatives from the Amalgamated Transit Union, Transportation Communications International Union, Seafarers International Union, Brotherhood of Railroad Signalmen, Hotel Employees and Restaurant Employees International Union, Service Employees International Union, International Association of Machinists, and Brotherhood of Locomotive Engineers.


(Click here to return to Page One)