Someone mentioned earlier that pan am’s labor agreements stay in place until they expire. Will the labor agreements impact the ability of csx to use its mechanized mow gangs to rebuild pan am’s decrepit track or are they stuck with pan am’s existing mow capabilities until the labor agreements expire?
First off, by contract they only need to use ST MOW if the equipment and manpower levels are capable of performing the work and all furloughed employees have already been called back. NS brought in their own gangs when they built Pan Am Southern because Pan Am was not capable of performing that level of capital work while also continuing to maintain the rest of the system.
Secondly, labor contracts are not perpetual. They will cease to exist when one of the signees does not exist. In this case it is the Springfield Terminal. That's why the unions seek NY Dock protection when being bought out etc.
We know that will exist to at least the end of the year when the B&E is due to takeover operations over PAS from the ST. As to when CSX signs new operating agreements between itself and the unions, the only deadline is when they expire either by contract date or when the Springfield Terminal ceases to exist. As Pan Am will be merged fully into CSX eventually, the clock is ticking for the ST.
So to answer your question, they will only bring in their own gangs or contractors if the legacy-ST can't do it.