BLE
                                                     MAY 19, 1986
               AWARD of ARBITRATION BOARD NO. 458
                       DATED MAY 19, 1986
              between railroads represented by the
             NATIONAL CARRIERS' CONFERENCE COMMITTEE
                               and
         employees of such railroads represented by the
               BROTHERHOOD OF LOCOMOTIVE ENGINEERS
                                                       APPENDIX B
IT IS HEREBY AGREED:
ARTICLE 1 - GENERAL WAGE INCREASES
Section l - First General Wage Increase
      (a)  Effective July 1, 1986, all standard basic dally rates
of   pay   (excluding  cost-of-living  allowance)  of   employees
represented by the Brotherhood of Locomotive Engineers in  effect
on June 30, 1986 shall be increased by one (1) percent.
     (b) In computing the increase under paragraph (a) above, one
(l) percent shall be applied to the standard basic daily rates of
pay  applicable in the following weight-on-drivers brackets,  and
the  amounts  so  produced shall be added to each standard  basic
daily rate of pay:
     Passenger      - 600,000 and less than 650,000 pounds
     Freight        - 950,000 and less than 1,000,000 pounds
                              (through freight rates)
     Yard Engineers - Less than 500,000 pounds
     Yard Firemen   - Less than 500,000 pounds
                         (separate computation covering five-day
                          rates and other than five-day rates)
Section 2 - Second General Wage Increase
      Effective July 1, 1986, following application of  the  wage
increase  provided for in Section l(a) above, all standard  basic
daily  rates  of  pay  (excluding  cost-of-living  allowance)  of
employees  represented by the Brotherhood of Locomotive Engineers
in effect shall be further increased by two (2) percent, computed
and applied in the manner prescribed in Section l above.
Section 3 - Third General Wage Increase
     Effective October 1, 1986, all standard basic daily rates of
pay (excluding cost-of-living allowance) of employees represented
by the Brotherhood of Locomotive Engineers in effect on September
30,  1986, shall be increased by one and one-half (1.5)  percent,
computed and applied in the manner prescribed in Section 1 above.
Section 4 - Fourth General Wage Increase
     Effective January 1, 1987, all standard basic daily rates of
pay (excluding cost-of-living allowance) of employees represented
by  the Brotherhood of Locomotive Engineers in effect on December
31,  1986,  shall  be  increased by two  and  one-quarter  (2.25)
percent, computed and applied in the manner prescribed in Section
1 above.
Section 5 - Fifth General Wage Increase
      Effective July 1, 1987, all standard basic daily  rates  of
pay (excluding cost-of-living allowance) of employees represented
by  the Brotherhood of Locomotive Engineers in effect on June 30,
1987,  shall  be  increased by one and  one-half  (1.5)  percent,
computed and applied in the manner prescribed in Section 1 above.
Section 6 - Sixth General Wage Increase
     Effective January 1, 1988, all standard basic daily rates of
pay (excluding cost-of-living allowance) of employees represented
by  the Brotherhood of Locomotive Engineers in effect on December
31,  1987,  shall  be  increased by two  and  one-quarter  (2.25)
percent, computed and applied in the manner prescribed in Section
1 above.
Section 7 - Standard Rates
      The  standard basic daily rates of pay (excluding  cost-of-
living  allowance)  produced  by  application  of  the  increases
provided  for in this Article are set forth in Appendix 1,  which
is a part of this Agreement.
Section 8 - Application of Wage Increases
      (a)  Duplicate  time  payments, including  arbitraries  and
special  allowances that are expressed in time,  miles  or  fixed
amounts  of  money, and mileage rates of pay  for  miles  run  in
excess of the number of miles comprising a basic day, will not be
subject to the adjustments provided for in this Article.
      (b) Miscellaneous rates based upon hourly or daily rates of
pay,  as  provided in the schedules or wage agreements, shall  be
adjusted  under this Agreement in the same manner  as  heretofore
increased under previous wage agreements.
      (c)  In determining new hourly rates, fractions of  a  cent
will  be  disposed of by applying the next higher  quarter  of  a
cent.
      (d) Daily earnings minima shall be changed by the amount of
the respective daily adjustments.
      (e)  Existing  money differentials above existing  standard
daily rates shall be maintained.
      (f)  In  local  freight service, the same  differential  in
excess of through freight rates shall be maintained.
      (g) The differential of $4.00 per basic day in freight  and
yard service, and $.04 per mile for miles in excess of the number
of miles encompassed in the basic day in freight service, will be
maintained  for engineers working without firemen on  locomotives
on  which  under  the former National Diesel  Agreement  of  1950
firemen would have been required. Such differential will continue
to   be   applied  in  the  same  manner  as  the  local  freight
differential.
      (h)  In  computing  the  first increase  in  rates  of  pay
effective  July 1, 1986, under Section 1 for firemen employed  in
local  freight  service, or on road switchers,  roustabout  runs,
mine  runs, or in other miscellaneous service, on runs  of  miles
equal  to  or less than the number comprising a basic day,  which
are  therefore paid on a daily basis without a mileage component,
whose  rates had been increased by an additional $.40"  effective
July  1,  1968, the one (1) percent increase shall be applied  to
daily  rates in effect June 30, 1986, exclusive of local  freight
differentials  and  any other money differential  above  existing
standard  daily rates. For firemen, the rates applicable  in  the
weight-on-drivers bracket 950,000 and less than 1,000,000  pounds
shall be utilized in computing the amount of increase. The same
procedure  shall  be  followed in computing the  second  increase
effective  July  1, 1986, and the subsequent increases  effective
October  1,  1986, January 1, 1987, July 1, 1987 and  January  1,
1988.  The  rates produced by application of the  standard  local
freight  differentials and the above-referred-to special increase
of an additional $.40" to standard basic through freight rates of
pay  are  set  forth  in  Appendix 1 which  is  a  part  of  this
Agreement.
     (i) Other than standard rates:
           (i)  Existing  basic daily rates  of  pay  other  than
standard shall be changed, effective as of the dates specified in
Sections  1  through 6 hereof, by the same respective percentages
as  set forth therein, computed and applied in the same manner as
the standard rates were determined.
          (ii) The differential of $4.00 per basic day in freight
and  yard service, and $.04 per mile for miles in excess  of  the
number  encompassed in the basic day in freight service, will  be
maintained  for engineers working without firemen on  locomotives
on  which  under  the former National Diesel  Agreement  of  1950
firemen would have been required.
           (iii)  Daily  rates of pay, other  than  standard,  of
firemen  employed in local freight service, or on road switchers,
roustabout runs, mine runs, or in other miscellaneous service, on
runs of miles equal to or less than the number encompassed in the
basic  day, which are therefore paid on a daily basis  without  a
mileage  component, shall be increased as of the effective  dates
specified  in Sections 1 through 6 hereof, by the same respective
percentages  as  set forth therein, computed and applied  in  the
same manner as provided in paragraph (i)(i) above.
      (j) Wage rates resulting from the increases provided for in
Sections  1 through 6 of this Article I, and in Section  1(d)  of
Article II, will not be reduced under Article II.
ARTICLE II - COST-OF-LIVING ADJUSTMENTS
Section 1 - Amount and Effective Dates of Cost-of-Living
   Adjustments
      (a)  The  cost-of-living allowance which, on September  30,
1986 will be 13 cents per hour, will subsequently be adjusted, in
the  manner  set  forth in and subject to all the  provisions  of
paragraphs (e) and (g) below, on the basis of the "Consumer Price
Index  for  Urban  Wage  Earners and  Clerical  Workers  (Revised
Series)   (CPI-W)"  (1967  =  100),  U.S.  Index,  all  items   -
unadjusted, as published by the Bureau of Labor Statistics,  U.S.
Department  of  Labor, and hereinafter referred  to  as  the  BLS
Consumer  Price  Index. The first such cost-of-living  adjustment
shall  be  made  effective  October 1, 1986,  based  (subject  to
paragraph (e)(i) below) on the BLS Consumer Price Index for March
1986  as  compared  with  the  index  for  September  1985.  Such
adjustment, and further cost-of-living adjustments which will  be
made effective as described below, will be based on the change in
the  BLS  Consumer Price Index during the respective  measurement
periods shown in the following table subject to the exception  in
paragraph  (e)(ii) below, according to the formula set  forth  in
paragraph (f) below as limited by paragraph (g) below:
                            Measurement                   Periods
Effective Date
Base   Month             Measurement  Month                    of
Adjustment
                   (1)                                        (2)
(3)
September 1985           March 1986                       October
1, 1986
March 1986                  September 1986                January
1, 1987
September 1986           March 1987                          July
1, 1987
March 1987                  September 1987                January
1, 1988
     (b) While a cost-of-living allowance is in effect, such cost-
of-living  allowance  will  apply  to  straight  time,  overtime,
vacations, holidays and to special allowances in the same  manner
as  basic wage adjustments have been applied in the past,  except
that  any  part  of such allowance generated after September  30,
1986  shall  not  apply  to  duplicate time  payments,  including
arbitraries  and special allowances that are expressed  in  time,
miles  or fixed amounts of money or to mileage rates of  pay  for
miles  run  in excess of the number of miles comprising  a  basic
day.
      (c)  The  amount of the cost-of-living allowance,  if  any,
which will be effective from one adjustment date to the next  may
be  equal  to,  or  greater  or  less  than,  the  cost-of-living
allowance in effect in the preceding adjustment period.
      (d)  On  June 30, 1988 all of the cost-of-living  allowance
then  in  effect shall be rolled into basic rates of pay and  the
cost-of-living  allowance  in effect will  be  reduced  to  zero.
Accordingly,  the  amount rolled in will not apply  to  duplicate
time  payments, including arbitraries and special allowances that
are  expressed  in  time, miles or fixed amounts  of  money,  and
mileage  rates  of pay for miles run in excess of the  number  of
miles  comprising  a  basic day, except to  the  extent  that  it
includes part or all of the 13 cents per hour allowance in effect
on September 30, 1986.
      (e) Cap.  i) In calculations under paragraph (f) below, the
maximum  increase in the BLS Consumer Price Index (C.P.I.)  which
will be taken into account will be as follows:
     Effective   Date                           Maximum    C.P.I.
     Increase
     of  Adjustment                      Which May Be Taken  into
     Account
         (1)                                           2)
     
     October  1,  1986                      4% of September  1985
     CPI
     
     January  1,  1987                      8% of September  1985
     CPI, less
                                      the increase from September
     1985
                                     to March 1986
     
     July 1, 1987                    4% of September 1986 CPI
     
     January  1,  1988                      8% of September  1986
     CPI, less
                                      the increase from September
     1986
                                     to March 1987
           (ii)  If the increase in the BLS Consumer Price  Index
from the base month of September 1985 to the measurement month of
March  1986,  exceeds  4%  of  the  September  base  index,   the
measurement period which will be used for determining the cost-of-
living  adjustment to be effective the following January will  be
the  twelve-month period from such base month of  September;  the
increase  in the index which will be taken into account  will  be
limited to that portion of increase which is in excess of  4%  of
such  September  base  index, and the maximum  increase  in  that
portion of the index which may be taken into account will  be  8%
of  such  September  base  index less the  4%  mentioned  in  the
preceding  clause, to which will be added any residual tenths  of
points  which  had  been  dropped under paragraph  (f)  below  in
calculation  of  the cost-of-living adjustment  which  will  have
become effective October 1 during such measurement period.
          (iii) Any increase in the BLS Consumer Price Index from
the  base month of September of one year to the measurement month
of  September  of  the  following year in excess  of  8%  of  the
September base month index, will not be taken into account in the
determination of subsequent cost-of-living adjustments.
      (f)  Formula.   The  number of points  change  in  the  BLS
Consumer  Price Index during a measurement period, as limited  by
paragraph (e) above, will be converted into cents on the basis of
one  cent  equals  0.3 full points. (By 0.3 full  points'  it  is
intended  that any remainder of 0.1 point or 0.2 point of  change
after the conversion will not be counted).
     The cost-of-living allowance in effect on September 30, 1986
will  be  adjusted (increased or decreased) effective October  1,
1986 by the whole number of cents produced by dividing by 0.3 the
number  of points (including tenths of points) change, as limited
by  paragraph  (e) above, in the BLS Consumer Price Index  during
the  measurement period from the base month of September 1985  to
the  measurement month of March 1986. Any residual  tenths  of  a
point  resulting from such division will be dropped.  The  result
of  such  division will be added to the amount  of  the  cost-of-
living  allowance in effect on September 30, 1986 if the Consumer
Price  Index  will  have  been higher at  the  end  than  at  the
beginning  of  the  measurement period, and subtracted  therefrom
only  if  the index will have been lower at the end than  at  the
beginning of the measurement period and then, only, to the extent
that the allowance remains at zero or above.
      The  same procedure will be followed in applying subsequent
adjustments.
      (g) Offsets.  The amounts calculated in accordance with the
formula  set forth in paragraph (f) will be offset by  the  third
through  the sixth increases provided for in Article  I  of  this
Agreement  as applied on an annual basis against a starting  rate
of  S12.92  per  hour.  This will result  in  the  cost-of-living
increases,  if  any,  being  subject to  the  limitations  herein
described:
           (i)  Any increase to be paid effective October 1, 1986
is limited to that in excess of 19 cents per hour.
           (ii) The combined increases, if any, to be paid  as  a
result  of the adjustments effective October 1, 1986 and  January
1, 1987 are limited to those in excess of 48 cents per hour.
          (iii) Any increase to be paid effective July 1, 1987 is
limited to that in excess of 20 cents per hour.
           (iv) The combined increases, if any, to be paid  as  a
result  of the adjustments effective July 1, 1987 and January  1,
1988 are limited to those in excess of 51 cents per hour.
       (h)  Continuance  of  the  cost-of-living  adjustments  is
dependent  upon  the  availability of the  official  monthly  BLS
Consumer Price Index (CPI-W) calculated on the same basis as such
Index,  except  that,  if  the Bureau of Labor  Statistics,  U.S.
Department of Labor, should during the effective period  of  this
Agreement  revise  or change the methods or basic  data  used  in
calculating  the BLS Consumer Price Index in such  a  way  as  to
affect the direct comparability of such revised or changed  index
with  the  CPI-W  Index during a measurement  period,  then  that
Bureau shall be requested to furnish a conversion factor designed
to adjust the newly revised index to the basis of the CPI-W Index
during such measurement period.
Section 2 - Application of Cost-of-Living Adjustments
      In  application of the cost-of-living adjustments  provided
for by Section 1 of this Article II, the cost-of-living allowance
will not become part of basic rates of pay except as provided  in
Section l(d). In application of such allowance, each one cent per
hour  of  cost-of-living allowance will be treated as an increase
of  8  cents  in  the  basic  daily  rates  of  pay  produced  by
application of Article I and  by Section 1(d) of this Article II.
The cost-of-living allowance will otherwise be applied in keeping
with the provisions of Section 8 of Article I.
                      ARTICLE III - LUMP SUM PAYMENT
      A  lump sum payment, calculated as described below, will be
paid  to  each employee subject to this Agreement who established
an  employment  relationship prior to the date of this  Agreement
and has retained that relationship or has retired or died.
      Employees with 2,150 or more straight time hours  paid  for
(not including any such hours reported to the Interstate Commerce
Commission  as  constructive  allowances  except  vacations   and
holidays)  during the period July 1, 1984 through July  31,  1985
will  be  paid $565.00. Those employees with fewer straight  time
hours  paid  for  will be paid an amount derived  by  multiplying
$565.00 by the number of straight time hours (including vacations
and  holidays,  as described above) paid for during  that  period
divided by 2,150.
     There shall be no duplication of lump-sum payments by virtue
of employment under an agreement with another organization.
ARTICLE IV - PAY RULES
Section 1 - Mileage Rates
      (a)  Mileage  rates of pay for miles run in excess  of  the
number  of  miles comprising a basic day will not be  subject  to
general, cost-of-living, or other forms of wage increases.
      (b)  Mileage rates of pay, as defined above, applicable  to
interdivisional, interseniority district, intradivisional  and/or
intraseniority  district  service runs  now  existing  or  to  be
established  in the future shall not exceed the applicable  rates
as  of  June  30, 1986.  Such rates shall be exempted  from  wage
increases as provided in Section l(a) of this Article. Weight-on-
drivers  additives  will  apply to mileage  rates  calculated  in
accordance with this provision.
Section 2 - Miles in Basic Day and Overtime Divisor
      (a)  The  miles  encompassed in the basic  day  in  through
freight  and  through passenger service and the divisor  used  to
determine when overtime begins will be changed as provided below:
Effective  Date        Thru Freight Service        Thru Passenger
Service
of Change
                  Miles  in Basic   Overtime     Miles  in  Basic
Overtime
                          Day            Divisor              Day
Divisor
July    1,    1986           104           13.0               104
20.8
July    1,    1987           106          13.25               106
21.2
June    30,    1988          108          13.5                108
21.6
      (b) Mileage rates will be paid only for miles run in excess
of the minimum number specified in (a) above.
      (c)  The  number  of hours that must lapse before  overtime
begins  on a trip in through freight or through passenger service
is  calculated by dividing the miles of the trip or the number of
miles  encompassed  in  a  basic day in that  class  of  service,
whichever  is greater, by the appropriate overtime divisor.  Thus
after  June 30, 1988, overtime will begin on a trip of 125  miles
in through freight service after 125/13.5 = 9.26 hours or 9 hours
and 16 minutes.  In through freight service, overtime will not be
paid prior to the completion of 8 hours of service.
Section 3 - Conversion to Local Rate
     When employees in through freight service become entitled to
the  local  rate  of pay under applicable conversion  rules,  ,he
daily  local freight differential (56 cents for engineers and  43
cents  for  firemen under national agreements) will be  added  to
their basic daily rate and the combined rate will be used as  the
basis  for  calculating  hourly rates, including  overtime.   The
local  freight  mileage  differential  (56  cents  per  mile  for
engineers  and  43  cents for firemen under national  agreements)
will be added to the through freight mileage rates, and miles  in
excess  of  the  number encompassed in the basic day  in  through
freight service will be paid at the combined rate.
Section 4 - Engine Exchange (Including Adding and Subtracting  of
Units)
           And Other Related Arbitraries
     (a) Effective July 1, 1986 all arbitrary allowances provided
to   employees  for  exchanging  engines,  including  adding  and
subtracting units, preparing one or more units for tow,  handling
locomotive  units not connected in multiple, and coupling  and/or
uncoupling  appurtenances such as signal hose and control  cables
are reduced by an amount equal to two-thirds of the allowance  in
effect as of June 30, 1986.
      (b)  Effective  July  1,  1987,  all  arbitrary  allowances
provided  to employees for performing work described in paragraph
(a) above are eliminated.
Section 5 - Duplicate Time Payments
      (a)  Duplicate  time  payments, including  arbitraries  and
special  allowances that are expressed in time or miles or  fixed
amounts of money, shall not apply to employees whose seniority in
engine  or  train service is established on or after November  1,
1985.
      (b)  Duplicate  time  payments, including  arbitraries  and
special  allowances that are expressed in time or miles or  fixed
amounts of money, not eliminated by this Agreement shall  not  be
subject  to  general,  cost-of-living  or  other  forms  of  wage
increases.
Section 6 - Rate Progression - New Hires
     In any class of service or job classification, rates of pay,
additives, and other applicable elements of compensation  for  an
employee   whose  seniority  in  engine  or  train   service   is
established on or after November 1, 1985, will be 75% of the rate
for  present  employees  and will increase  in  increments  of  5
percentage  points  for  each year of active  service  in  engine
and/or  train service until the new employee's rate is  equal  to
that of present employees. A year of active service shall consist
of a period of 365 calendar days in which the employee performs a
total of 80 or more tours of duty.
ARTICLE V - FINAL TERMINAL DELAY, FREIGHT SERVICE
Section 1 - Computation of Time
      In  freight  service  all time, in excess  of  60  minutes,
computed from the time engine reaches switch, or signal governing
same,  used in entering final terminal yard where train is to  be
left  or yarded, until finally relieved from duty, shall be  paid
for  as  final  terminal delay; provided,  that  if  a  train  is
deliberately delayed between the last siding or station and  such
switch  or signal, the time held at such point will be  added  to
any time calculated as final terminal delay.
Section 2 - Extension of Time
      Where  mileage  is  allowed between the point  where  final
terminal  delay time begins and the point where finally relieved,
each mile so allowed will extend the 60 minute period after which
final  terminal  delay payment begins by the  number  of  minutes
equal to 60 divided by the applicable overtime divisor (60/12.5 =
4.8; 60/13 = 4.6; 60/13.25 = 4.5; 60/13.5 = 4.4, etc.).
Section 3 - Payment Computation
      All  final terminal delay, computed as provided for in this
Article,  shall be paid for, on the minute basis,  at  one-eighth
(1/8th)  of the basic daily rate in effect as of June  30,  1986,
according  to  class of service and engine used, in  addition  to
full  mileage of the trip, with the understanding that the actual
time consumed in the performance of service in the final terminal
for  which  an arbitrary allowance of any kind is paid  shall  be
deducted  from  the final terminal time under this  Article.  The
rate  of  pay  for final terminal delay allowance  shall  not  be
subject to increases of any kind.
      After  road overtime commences, final terminal delay  shall
not  apply and road overtime shall be paid until finally relieved
from duty
     NOTE:     The  phrase "relieved from duty" as used  in  this
               Article includes time required to make inspection,
               complete all necessary reports and/or register off
               duty.
Section 4 - Multiple Trips
      When a tour of duty is composed of a series of trips, final
terminal delay will be computed on only the last trip of the tour
of duty.
Section 5 - Exceptions
      This  Article shall not apply to pusher, helper, mine  run,
shifter,   roustabout,   transfer,  belt   line,   work,   wreck,
construction,  road  switcher  or  district  run  service.   This
Article  shall  not apply to circus train service  where  special
rates or allowances are paid for such service.
     NOTE:     The  question  as  to what particular  service  is
               covered  by  the designations used  in  Section  5
               shall be determined on each individual railroad in
               accordance with the rules and practices in  effect
               thereon.
Section 6 - Local Freight Service
      In  local  freight service, time consumed in  switching  at
final  terminal shall not be included in the computation of final
terminal delay time.
                       - - - - - - - - - -
      This Article shall become effective July 1, 1986 except  on
such  carriers  as  may  elect  to  preserve  existing  rules  or
practices  and  so notify the authorized employee representatives
on or before such date.
ARTICLE VI - DEADHEADING
     Existing rules covering deadheading are revised as follows:
Section 1 - Payment When Deadheading and Service Are Combined
      (a)  Deadheading and service may be combined in any  manner
that  traffic conditions require, and when so combined  employees
shall  be paid actual miles or hours on a continuous time  basis,
with  not  less than a minimum day, for the combined service  and
deadheading.  However, when deadheading from  the  away-from-home
terminal  to  the home terminal is combined with a  service  trip
from  such home terminal to such away-from-home terminal and  the
distance between the two terminals exceeds the applicable mileage
for a basic day, the rate paid for the basic day mileage portions
of the service trip and deadhead shall be at the full basic daily
rate.
Section 2 - Payment For Deadheading Separate From Service
      When  deadheading  is  paid for  separate  and  apart  from
service:
     (a) For Present Employees*
      A minimum day, at the basic rate applicable to the class of
service in connection with which deadheading is performed,  shall
be  allowed  for the deadheading, unless actual time consumed  is
greater, in which event the latter amount shall be allowed.
     (b) For New Employees**
     Compensation on a minute basis, at the basic rate applicable
to  the class of service in connection with which deadheading  is
performed,   shall   be  allowed.  However,  if   service   after
deadheading to other than the employee's home terminal  does  not
begin within 16 hours after completion of deadhead, a minimum  of
a  basic  day  at  such  rate will be paid. If  deadheading  from
service  at  other  than the employee's home  terminal  does  not
commence within 16 hours of completion of service, a minimum of a
basic day at such rate will be paid.
      A  minimum  of a basic day also will be allowed  where  two
separate deadhead trips, the second of which is out of other than
the   home  terminal,  are  made  with  no  intervening   service
performed.   Non-service  payments  such  as  held-away-from-home
terminal  allowance will count toward the minimum of a basic  day
provided in this Section 2(b).
      *  Employees  whose seniority in engine  or  train  service
precedes November 1, 1985.
      **  Employees whose earliest seniority date  in  engine  or
train service is established on or after November 1, 1985.
Section 3 - Applications
      Deadheading will not be paid where not paid under  existing
rules.
                       - - - - - - - - - -
      This Article shall become effective July 1, 1986 except  on
such  carriers  as  may  elect  to  preserve  existing  rules  or
practices  and  so notify the authorized employee representatives
on or before such date.
ARTICLE VII - ROAD SWITCHERS ETC.
Section 1 - Reduction in Work Week
      (a)  Carriers  with road switcher (or similar  operations),
mine run or roustabout agreements in effect prior to the date  of
this Agreement that do not have the right to reduce six or seven-
day  assignments  to  not less than five,  or  to  establish  new
assignments to work five days per week, shall have that right.
      (b)  The  work  days  of  five-day assignments  reduced  or
established  pursuant to Section l(a) of this  Article  shall  be
consecutive.   The  five-day  yard  rate  shall  apply   to   new
assignments established pursuant to Section l(a) of this Article.
Assignments reduced pursuant to Section l(a) shall be compensated
in accordance with the provisions of Section l(c).
      (c)  If  the  working  days of an  existing  assignment  as
described  in  Section l(a) are reduced under  this  Article,  an
allowance  of  48 minutes at the existing straight time  rate  of
that  assignment  in  addition  to  the  rate  of  pay  for  that
assignment will be provided. Such allowance will continue  for  a
period  of  three years from the date such assignment  was  first
reduced.  However, such allowance will not be made  to  employees
who  establish seniority in train or engine service on  or  after
November  1,  1985.  Upon expiration of  the  three  year  period
described  above,  the  five day yard  rate  will  apply  to  any
assignment reduced to working less than six or seven days a  week
pursuant to this Article.
       (d)  The  annulment  or  abolishment  and  subsequent  re-
establishment  of  an assignment to which the allowance  provided
for   above  applies  shall  not  serve  to  make  the  allowance
inapplicable to the assignment upon its restoration.
Section 2 - New Road Switcher Agreements
     (a) Carriers that do not have rules or agreements that allow
them  to  establish  road switcher assignments  throughout  their
system  may  serve a proposal for such a rule upon the interested
general chairman or chairmen. If agreement is not reached on  the
proposal  within  20  days, the question shall  be  submitted  to
arbitration.
      (b) The arbitrator shall be selected by the parties or,  if
they  fail  to  agree,  the  National  Mediation  Board  will  be
requested to name an arbitrator.
      (c)  The arbitrator shall render a decision within 30  days
from the date he accepts appointment. The decision shall not deal
with  the  right  of  the  carrier  to  establish  road  switcher
assignments  (such right is recognized), but shall be  restricted
to   enumerating  the  terms  and  conditions  under  which  such
assignments shall be compensated and operated.
     (d) In determining the terms and conditions under which road
switcher  assignments  shall  be compensated  and  operated,  the
arbitrator  will  be  guided by and  confined  to  what  are  the
prevailing  features of other road switcher agreements  found  on
Class I railroads, except that the five day yard rate shall apply
to any assignment established under this Section.
ARTICLE VIII - ROAD, YARD AND INCIDENTAL WORK
Section 1 - Road Crews
     Road crews may perform the following work in connection with
their own trains without additional compensation:
      (a)  Get  or leave their train at any location  within  the
initial and final terminals and handle their own switches. When a
crew is required to report for duty or is relieved from duty at a
point  other  than  the  on and off duty  point  fixed  for  that
assignment  and  such  point  is not  within  reasonable  walking
distance  of  the on and off duty point, transportation  will  be
provided.
     (b) Make up to two straight pick-ups at other location(s) in
the  initial terminal in addition to picking up the train and  up
to  two  straight  set-outs  at other location(s)  in  the  final
terminal  in  addition to yarding the train; and,  in  connection
therewith, spot, pull, couple, or uncouple cars set out or picked
up by them and reset any cars disturbed.
      (c)  In  connection with straight pick-ups and/or  set-outs
within  switching limits at intermediate points where yard  crews
are  on  duty,  spot, pull, couple or uncouple cars  set  out  or
picked  up  by  them and reset any cars disturbed  in  connection
therewith.
      (d)  Perform switching within switching limits at times  no
yard  crew  is  on duty.  On carriers on which the provisions  of
Section  1  of  Article  V  of the June 25,  1964  Agreement  are
applicable, time consumed in switching under this provision shall
continue  to  be counted as switching time. Switching allowances,
where applicable, under Article V, Section 7 of the June 25, 1964
Agreement  or  under individual railroad agreements,  payable  to
road  crews,  shall  continue  with respect  to  employees  whose
seniority  in engine or train service precedes the date  of  this
Agreement and such allowances are not subject to general or other
wage increases.
      (e) At locations outside of switching limits there shall be
no  restrictions on holding onto cars in making set-outs or pick-
ups,  including coupling or shoving cars disturbed in making set-
outs or pick-ups.
Section 2 - Yard Crews
      (a)  Yard  crews may perform the following work outside  of
switching  limits  without  additional  compensation  except   as
provided below:
           (i) Bring in disabled train or trains whose crews have
tied  up under the Hours of Service Law from locations up  to  25
miles outside of switching limits.
           (ii) Complete the work that would normally  be handled
by  the crews of trains that have been disabled or tied up  under
the  Hours of Service Law and are being brought into the terminal
by  those yard crews. This paragraph does not apply to work train
or wrecking service.
     Note:     For  performing the service provided in (a)(i) and
               (ii)  above,  yard crews shall be  paid  miles  or
               hours, whichever is the greater, with a minimum of
               one  (1)  hour for the class of service  performed
               (except  where existing agreements require payment
               at  yard  rates) for all time consumed outside  of
               switching  limits.  This  allowance  shall  be  in
               addition  to the regular yard pay and without  any
               deduction therefrom for the time consumed  outside
               of  switching limits. Such payments are limited to
               employees whose seniority date in engine or  train
               service  precedes  November 1,  1985  and  is  not
               subject to general or other wage increases.
           (iii)  Perform  service to customers up  to  20  miles
outside switching limits provided such service does not result in
the elimination of a road crew or crews in the territory. The use
of  a  yard  crew in accordance with this paragraph will  not  be
construed  as  giving yard crews exclusive rights to  such  work.
This  paragraph  does not contemplate the use of  yard  crews  to
perform work train or wrecking service outside switching limits.
           (iv) Nothing in this Article will serve to prevent  or
affect in any way a carrier's right to extend switching limits in
accordance  with  applicable agreements. However,  the  distances
prescribed  in  this Article shall continue to be  measured  from
switching  limits as they existed as of July 26, 1978, except  by
mutual agreement.
      (b) Yard crews may perform hostling work without additional
payment or penalty.
Section 3 - Incidental Work
      Road  and  yard employees in engine service  and  qualified
ground service employees may perform the following items of  work
in  connection  with  their  own assignments  without  additional
compensation:
     (a)  Handle switches
     
     (b)  Move, turn, spot and fuel locomotives
     
     (c)  Supply  locomotives  except  for  heavy  equipment  and
          supplies  generally placed on locomotives by  employees
          of other crafts
     
     (d)  Inspect locomotives
     
     (e)  Start or shutdown locomotives
     
     (f)  Make head-end air tests
     
     (g)  Prepare reports while under pay
     
     (h)  Use   communication  devices;  copy  and  handle  train
          orders, clearances and/or other messages.
     
     (I)  Any duties formerly performed by firemen.
Section 4 - Construction of Article
      Nothing in this Article is intended to restrict any of  the
existing rights of a carrier.
                       - - - - - - - - - -
      This Article shall become effective June 1, 1986 except  on
such  carriers  as  may  elect  to  preserve  existing  rules  or
practices  and  so notify the authorized employee representatives
on or before such date.
ARTICLE IX - INTERDIVISIONAL SERVICE
Note:     As  used  in  this  Agreement, the term interdivisional
          service    includes   interdivisional,   interseniority
          district,    intradivisional   and/or    intraseniority
          district service.
     An individual carrier may establish interdivisional service,
in  freight  or  passenger  service,  subject  to  the  following
procedure.
Section 1 - Notice
      An  individual carrier seeking to establish interdivisional
service  shall give at least twenty days' written notice  to  the
organization  of  its  desire to establish service,  specify  the
service  it  proposes  to establish and the conditions,  if  any,
which it proposes shall govern the establishment of such service.
Section 2 - Conditions
       Reasonable  and  practical  conditions  shall  govern  the
establishment of the runs described, including but not limited to
the following:
      (a)  Runs  shall be adequate for efficient  operations  and
reasonable  in  regard to the miles run, hours  on  duty  and  in
regard to other conditions of work.
      (b) All miles run in excess of the miles encompassed in the
basic day shall be paid for at a rate calculated by dividing  the
basic  daily rate of pay in effect on May 31, 1986 by the  number
of miles encompassed in the basic day as of that date. Weight-on-
drivers  additives  will  apply to mileage  rates  calculated  in
accordance with this provision.
      (c)  When  a  crew is required to report  for  duty  or  is
relieved  from  duty at a point other than the on  and  off  duty
points  fixed for the service established hereunder, the  carrier
shall authorize and provide suitable transportation for the crew.
     Note:     Suitable transportation includes carrier owned  or
               provided  passenger  carrying  motor  vehicles  or
               taxi,   but   excludes  other  forms   of   public
               transportation.
      (d)  On runs established hereunder crews will be allowed  a
$4.15 meal allowance after 4 hours at the away from home terminal
and  another  $4.15 allowance after being held  an  additional  8
hours.
      (e)  In  order  to expedite the movement of interdivisional
runs,  crews  on runs of miles equal to or less than  the  number
encompassed in the basic day will not stop to eat except in cases
of  emergency  or unusual delays. For crews on longer  runs,  the
carrier shall determine the conditions under which such crews may
stop to eat. When crews on such runs are not permitted to stop to
eat,  crew  members shall be paid an allowance of $1.50  for  the
trip.
     (f) The foregoing provisions (a) through (e) do not preclude
the  parties  from negotiating on other terms and  conditions  of
work.
Section 3 - Procedure
      Upon  the serving of a notice under Section 1, the  parties
will  discuss the details of operation and working conditions  of
the  proposed runs during a period of 20 days following the  date
of the notice. If they are unable to agree, at the end of the 20-
day  period, with respect to runs which do not operate through  a
home terminal or home terminals of previously existing runs which
are  to be extended, such run or runs will be operated on a trial
basis  until completion of the procedures referred to in  Section
4.  This  trial  basis operation will not be applicable  to  runs
which operate through home terminals.
Section 4 - Arbitration
      (a)  In  the event the carrier and the organization  cannot
agree  on  the  matters provided for in Section 1 and  the  other
terms  and conditions referred to in Section 2 above, the parties
agree  that such dispute shall be submitted to arbitration  under
the   Railway  Labor  Act,  as  amended,  within  30  days  after
arbitration  is requested by either party. The arbitration  board
shall  be  governed  by the general and specific  guidelines  set
forth in Section 2 above.
     (b) The decision of the arbitration board shall be final and
binding  upon  both  parties, except that  the  award  shall  not
require the carrier to establish interdivisional service  in  the
particular territory involved in each such dispute but  shall  be
accepted by the parties as the conditions which shall be  met  by
the   carrier  if  and  when  such  interdivisional  service   is
established  in  that  territory. Provided further,  however,  if
carrier elects not to put the award into effect, carrier shall be
deemed to have waived any right to renew the same request  for  a
period  of  one year following the date of said award, except  by
consent of the organization party to said arbitration.
Section 5 - Existing Interdivisional Service
      Interdivisional  service in effect  on  the  date  of  this
Agreement is not affected by this Article.
Section 6 - Construction of Article
       The  foregoing  provisions  are  not  intended  to  impose
restrictions with respect to establishing interdivisional service
where  restrictions  did not exist prior  to  the  date  of  this
Agreement.
Section 7 - Protection
       Every  employee  adversely  affected  either  directly  or
indirectly  as  a  result of the application of this  rule  shall
receive the protection afforded by Sections 6, 7, 8 and 9 of  the
Washington Job Protection Agreement of May 1936, except that  for
the  purposes of this Agreement Section 7(a) is amended  to  read
100%  (less  earnings in outside employment) instead of  60%  and
extended  to  provide period of payment equivalent to  length  of
service  not  to  exceed  6  years and to  provide  further  that
allowances in Sections 6 and 7 be increased by subsequent general
wage increases.
      Any  employee  required to change his  residence  shall  be
subject  to the benefits contained in Sections 10 and 11  of  the
Washington  Job  Protection Agreement and  in  addition  to  such
benefits  shall  receive  a transfer allowance  of  four  hundred
dollars  ($400.00)  and five working days  instead  of  the  "two
working days" provided by Section 10(a) of said agreement.  Under
this  Section,  change  of  residence  shall  not  be  considered
"required"  if  the  reporting point to  which  the  employee  is
changed  is  not  more  than 30 miles from his  former  reporting
point.
      If  any protective benefits greater than those provided  in
this  Article  are  available  under  existing  agreements,  such
greater benefits shall apply subject to the terms and obligations
of  both the carrier and employee under such agreements, in  lieu
of the benefits provided in this Article.
                       - - - - - - - - - -
      This Article shall become effective June 1, 1986 except  on
such  carriers  as  may  elect  to  preserve  existing  rules  or
practices  and  so notify the authorized employee representatives
on  or  before  such  date. Article VIII  of  the  May  13,  1971
Agreement  shall not apply on any carrier on which  this  Article
becomes effective.
ARTICLE X - LOCOMOTIVE STANDARDS
      In  run-through service, a locomotive which meets the basic
minimum  standards of the home railroad or section  of  the  home
railroad may be operated on any part of the home railroad or  any
other railroad.
      A  locomotive which meets the basic minimum standards of  a
component  of a merged or affiliated rail system may be  operated
on any part of such system.
ARTICLE XI - TERMINATION OF SENIORITY
      The seniority of any employee whose seniority-in engine  or
train service is established on or after November 1, 1985 and who
is furloughed for 365 consecutive days will be terminated if such
employee has less than three (3) years of seniority.
ARTICLE XII - FIREMEN
     A. On carriers where the Brotherhood of Locomotive Engineers
represents  firemen  and the provisions  of  the  July  19,  1972
Manning  and Training Agreements, as amended, are in effect,  the
following will apply:
      The craft or class of firemen (helpers) shall be eliminated
through  attrition except to the extent necessary to provide  the
source  of  supply  for  engineers and for  designated  passenger
firemen, hostler and hostler helper positions.
Section  1  -  Amendments to July 19, 1972 Manning  and  Training
Agreements
     (1) Change Article I, Section l(a) to read as follows:
     "(a)   For  fulfilling  needs  arising  as  the  result   of
     assignments  and  vacancies,  temporary  or  otherwise,   in
     designated  passenger service and in hostler, hostler-helper
     service, pursuant to mileage or other regulating factors  on
     individual  carriers and in accordance with  Article  IV  of
     this Agreement."
     (2) Change Article I, Section 3(a) to read as follows:
     "(a)  Determinations of the number of employees required  on
     each  seniority  district  will  be  based  on  the  maximum
     applicable  regulating  factor for  each  class  of  service
     contained   in  the  rules  on  each  carrier  relating   to
     increasing or decreasing the force of locomotive engineers."
     (3) Change Article I, Section 3(e) to read as follows:
     "(e)    The  number  of  employees  required  as   of   each
     determination  period  will  be based  on  engineer  service
     during the twelve months' period as follows:
          Passenger service
          Total  hours paid for multiplied by the number of miles
          encompassed in a minimum day divided by the  number  of
          hours encompassed in a minimum day.
          Freight service
          Total  hours  paid  for plus one-half  overtime  hours,
          multiplied  by  the number of miles  encompassed  in  a
          minimum  day divided by the number of hours encompassed
          in a minimum day.
          Yard service
          Total  hours  paid  for plus one-half  overtime  hours,
          divided by 8.
     The  results  thus obtained shall be divided by the  maximum
     applicable regulating factor as provided in paragraph (a) of
     this Section 3. The sum of employees thus determined will be
     increased by 10% to cover vacations and layoffs.
     NOTE:     As  used in this paragraph, the term 'total  hours
               paid  for'  includes all straight time hours  paid
               for  including hours paid for while working during
               scheduled vacation periods and the basic day's pay
               for  holidays as such, all overtime hours paid for
               including  overtime paid for working on  holidays,
               and  the  hourly  equivalent  of  arbitraries  and
               special  allowances provided for in  the  schedule
               agreements. The term does not include  the  hourly
               equivalent of vacation allowances or allowances in
               lieu  of  vacations, or payments  arising  out  of
               violations of the schedule agreement."
      (4)  Change  Article I, Section 3(f) by inserting  "and  on
furlough" in the first and second sentences after "the number  of
firemen in active service" and by eliminating (1) to the NOTE and
renumbering the remaining three enumerated items.
      (5)  Eliminate Section 3(h) of Article I and  reletter  the
subsequent subsection.
     (6) Change Article III, Section 1 to read as follows:
     "Section  1 - Firemen (helpers) whose seniority as such  was
     established prior to November 1, 1985 shall have  the  right
     to  exercise their seniority on assignments on which,  under
     the  National  Diesel Agreement of 1950  (as  in  effect  on
     January  24, 1964), the use of firemen (helpers) would  have
     been  required, and on available hostler and hostler  helper
     assignments subject to the following exceptions:
          (a)   When  required to fulfill experience requirements
          for  promotion,  or  engaged in  a  scheduled  training
          program.
          (b)  When their services are required to qualify for or
          fill  passenger or hostler or hostler helper  vacancies
          in accordance with Article IV of this Agreement.
          (c)    When  restricted  to  specific  assignments   as
          referred to in Article VI of this Agreement.
          (d)   When  required  to  fill  engineer  vacancies  or
          assignments.
     The exercise of seniority under this Article will be subject
     to  the advertisement, bidding, assignment, displacement and
     mileage rules on the individual carriers.
     NOTE:     As  to  any  carrier not subject to  the  National
               Diesel Agreement of 1950 on January 24, 1964,  the
               term  'the  rules  in effect on January  24,  1964
               respecting   assignments  (other   than   hostling
               assignments)  to  be manned by firemen  (helpers)'
               shall be substituted in this Article for the  term
               'the National Diesel Agreement of 1950."'
     "Section 1.5 - Firemen (helpers) whose seniority as such  is
     established on or after November 1, 1985 will have the right
     to  exercise  seniority limited to designated  positions  of
     passenger  fireman, hostler or hostler helper. The seniority
     rights   of  such  firemen  are  subject  to  the  following
     exceptions:
          (a)   When  required to fulfill experience requirements
          for  promotion,  or  engaged in  a  scheduled  training
          program.
          (b)   When  required  to  fill  engineer  vacancies  or
          assignments.
     This will not preclude the carrier from requiring firemen to
     maintain  proficiency  as  engineer  and  familiarity   with
     operations    and    territories   by   working    specified
     assignments."
     (7) Change Article III, Section 4 to read as follows:
     "Section  4(a)  - All firemen (helpers) whose  seniority  as
     such  was  established prior to November  1,  1985  will  be
     provided  employment in accordance with  the  provisions  of
     this Article until they retire, resign,  are discharged  for
     good  cause, or are otherwise severed by natural  attrition;
     provided,  however,  that  such  firemen  (helpers)  may  be
     furloughed  if  no  assignment  working  without  a  fireman
     (helper) exists on their seniority district which would have
     been  available  to  firemen (helpers)  under  the  National
     Diesel Agreement of 1950 (as in effect on January 24, 1964),
     and if no position on an extra list as required in Section 3
     above exists on their seniority district, subject to Section
     5 of this Article."
     "Section  4(b)  -  Firemen  whose  seniority  as   such   is
     established  on or after November 1, 1985 may be  furloughed
     when not utilized pursuant to Section 1.5 of this Article."
     (8) Change Article III, Section 5(a) to read as follows:
     "Section  5(a) - With respect to firemen (helpers)  employed
     after  July  19,  1972  and prior to November  1,  1985  the
     provisions   of  Section  4(a)  above  will  be  temporarily
     suspended  on any seniority district to the extent  provided
     in  this Section 5 if there is a decline in business  within
     the meaning of this Section."
     (9) Change Article IV, Section 1 to read as follows:
     "Section  1 - Firemen (helpers) who established a  seniority
     date as fireman prior to November 1, 1985  shall be used  on
     assignments  in passenger service on which under  agreements
     in  effect immediately prior to August 1, 1972, the  use  of
     firemen  (helpers)  would have been required.   The  use  in
     passenger   service  of  firemen  (helpers)  who   establish
     seniority  as firemen on or after November 1, 1985  will  be
     confined to assignments designated by the carrier."
     (10) Change Article IV, Section 2 to read as follows:
     "(a)    Except  as  modified  hereinafter,  assignments   in
     hostling service will continue to be filled when required by
     agreements in effect on individual carriers.
     (b)    The   carriers   may  discontinue   using   employees
     represented  by the Brotherhood of Locomotive  Engineers  as
     hostlers or hostler helpers provided that it does not result
     in  furlough of a fireman who established seniority prior to
     November 1, 1985 nor the establishment of a hostler position
     represented by another organization, and provided,  further,
     that  this  provision will not act to displace any  employee
     who  established seniority prior to November 1, 1985 and who
     has  no  rights  to  service except as  hostler  or  hostler
     helper.
     (c)   Employees in engine service who established  seniority
     prior to November 1, 1985 will continue to fill hostler  and
     hostler helper positions and vacancies thereon in accordance
     with  agreements in effect as of that date. If such position
     cannot   be  filled  by  such  employees,  and  it  is   not
     discontinued   pursuant  to  Paragraph  (b)   above,   other
     qualified employees may be used.
     (d)  Yard crews may perform hostling work without additional
     payment or penalty to the carrier.'
     (11) Change Article VIII to read as follows:
     ARTICLE - VIII - RESERVE FIREMEN
     The  carrier shall have the right to offer 'Reserve Fireman'
     status  to  any number of active firemen, working  as  such,
     with seniority as firemen prior to November 1, 1985 (who are
     subject  to  work as locomotive engineers).  Where  applied,
     Reserve  Fireman status shall be granted in seniority  order
     on  a  seniority district or home zone basis under the terms
     listed below:
     (1)  An  employee  who chooses Reserve Fireman  status  must
          remain  in that status until he either (i) is  recalled
          and  returns  to hostler or engine service pursuant  to
          Paragraph  (2), (ii) is discharged from  employment  by
          the  carrier  pursuant  to  Paragraph  (2),  (iii)   is
          discharged  from  employment by the carrier  for  other
          good  cause,  (iv)  resigns  from  employment  by   the
          carrier,  (v)  retires  on  an  annuity  (including   a
          disability annuity) under the Railroad Retirement  Act,
          or  (vi)  otherwise  would  not  be  entitled  to  free
          exercise  of  seniority  under  this  Fireman   Manning
          Agreement;  whichever  occurs  first.  If  not   sooner
          terminated,  Reserve  Fireman  status  and  all   other
          employment rights of a Reserve Fireman shall  terminate
          when he attains age 70.
     (2)  Reserve Firemen must maintain their engine service  and
          hostler  proficiencies while in such status,  including
          successfully  completing  any retraining  or  refresher
          programs  that the carrier may require and passing  any
          tests or examinations (including physical examinations)
          administered  for purposes of determining whether  such
          proficiencies  and  abilities  have  been   maintained.
          Reserve Firemen also must hold themselves available for
          return  to hostler and engine service upon seven  days'
          notice, and must return to hostler or engine service in
          compliance with such notice.  Reserve Firemen shall  be
          recalled in reverse seniority order unless recalled for
          service  as  engineer. Failure to comply  with  any  of
          these  requirements will result in  forfeiture  of  all
          seniority rights.
     (3)  Reserve Firemen shall be paid at 70% of the basic  yard
          fireman's  rate  for  five  days  per  week.  No  other
          payments  shall be made to or on behalf  of  a  Reserve
          Fireman except (i) payment of premiums under applicable
          health and welfare plans and, (ii) as may otherwise  be
          provided  for in this Article. No deductions  from  pay
          shall be made on behalf of a Reserve Fireman except (i)
          deductions  of  income,  employment  or  payroll  taxes
          (including  railroad  retirement  taxes)  pursuant   to
          federal,  state or local law; (ii) deductions  of  dues
          pursuant to an applicable union shop agreement and  any
          other deductions authorized by agreement, (iii) as  may
          otherwise  be authorized by this Article and  (iv)  any
          other legally required deduction.
     (4)  Reserve  Firemen shall be considered in active  service
          for  the  purpose  of  this Fireman Manning  Agreement,
          including  application  of  the  decline  in   business
          formula.
     (5)  Other  non-railroad employment while in Reserve Fireman
          status  is permissible so long as there is no  conflict
          of  interest.  There  shall be no  offset  for  outside
          earnings.
     (6)  Vacation  pay received while in Reserve Fireman  status
          will  offset  pay  received under paragraph  (3).  Time
          spent   in   reserve  status  will  not  count   toward
          determining  whether  the  employee  is  eligible   for
          vacation in succeeding years. It will count as time  in
          determining  the  length of the vacation  to  which  an
          employee, otherwise eligible, is entitled.
     (7)  Reserve Firemen are not eligible for:
          Holiday Pay
          Personal Leave
          Bereavement Leave
          Jury Pay
          Other similar special allowances
     (8)  Reserve Firemen are covered by:
          Health and Welfare Plans
          Union Shop
          Dues Check-off
          Discipline Rule
          Grievance Procedure
          that  are  applicable  to firemen (helpers)  in  active
          service.
     (9)  When  junior employees are in 'Reserve Fireman' status,
          a  senior  active fireman may request such status.  The
          carrier  shall  grant  such  a  request  and,  at   its
          discretion, recall the junior 'Reserve Fireman."
Section 2 - Application
      Any  conflict between the changes set forth herein and  the
provisions  of the July 19, 1972 Manning Agreement,  as  revised,
shall  be  resolved  in accordance with the  provisions  of  this
Agreement.
     B. On carriers where the Brotherhood of Locomotive Engineers
represents  firemen  and the provisions  of  the  July  19,  1972
Manning  and Training Agreements, as amended, are not in  effect,
the following will apply:
(1)  The  craft or class of firemen* shall be eliminated  through
     attrition  except  to the extent necessary  to  provide  the
     source  of supply for engineers and for designated passenger
     firemen, hostlers and hostler helper positions.
     *The  term  firemen  as used in this Article,  includes  any
     position,   including  apprentice,  assistant   or   reserve
     engineer, the occupant of which is in training for  position
     of  engineer or who is a qualified engineer unable,  because
     of seniority, to hold a position as engineer.
(2)  Firemen  whose  seniority as such was established  prior  to
     November  1,  1985  shall have the right to  exercise  their
     seniority on assignments, on which immediately preceding the
     date  of  this  agreement, they were permitted  to  exercise
     seniority  as firemen, and on available hostler and  hostler
     helper assignments subject to the following exceptions:
     (a)  when  required  to fulfill experience requirements  for
          promotion, or engaged in a scheduled training program
     (b)  when  their  services are required to qualify  or  fill
          passenger or hostler or hostler helper vacancies  under
          existing agreements
     (c)  when restricted to a particular position, assignment or
          type  of  service for reasons including but not limited
          to  physical  disability, discipline, failure  to  pass
          promotional examination or other cause
     (d)  when   required   to   fill   engineer   vacancies   or
          assignments.
     The exercise of seniority under this Article will be subject
     to  the advertisement, bidding, assignment, displacement and
     mileage rules on the individual carriers.
(3)  Firemen  whose seniority as such is established on or  after
     November  1, 1985 will have the right to exercise  seniority
     limited   to  designated  positions  of  passenger  fireman,
     hostler  or  hostler helper. The seniority  rights  of  such
     firemen are subject to the following exceptions:
     (a)  when  required  to fulfill experience requirements  for
          promotion, or engaged in a scheduled training program
     (b)  when   required   to   fill   engineer   vacancies   or
          assignments.
     This will not preclude the carrier from requiring firemen to
     maintain  proficiency  as  engineer  and  familiarity   with
     operations and territories by working specified assignments.
(4)  All firemen whose seniority as such was established prior to
     November  1, 1985 will be provided employment in  accordance
     with  the  provisions  of this Article  until  they  retire,
     resign,  are  discharged for good cause,  or  are  otherwise
     severed  by natural attrition provided, however,  that  such
     firemen may be furloughed if no assignment working without a
     fireman exists on their seniority district which would  have
     been   available  to  firemen  under  agreements  in  effect
     immediately preceding the date of this agreement and  if  no
     position on a fireman's extra list exists on their seniority
     district.
(5)  Firemen  whose seniority as such is established on or  after
     November  1, 1985 may be furloughed when not utilized  under
     paragraph (3) of this Article.
(6)  Firemen  who established a seniority  date as fireman  prior
     to  November  1,  1985  shall  be  used  on  assignments  in
     passenger  service  on  which, under  agreements  in  effect
     immediately prior to the date of this agreement, the use  of
     firemen  would  have  been required. The  use  in  passenger
     service of firemen who establish seniority as firemen on  or
     after  November  1,  1985  will be confined  to  assignments
     designated by the carrier.
(7)  (a)  Except as modified hereinafter, assignments in hostling
     service  will  continue  to  be  filled  when  required   by
     assignments in effect on individual carriers.
     (b) The carriers may discontinue using employees represented
     by  the  Brotherhood of Locomotive Engineers as hostlers  or
     hostler helpers provided it does not result in furlough of a
     fireman who established seniority prior to November 1,  1985
     nor  the establishment of a hostler position represented  by
     another   organization,  and  provided  further  that   this
     provision  will  not  act  to  displace  any  employee   who
     established seniority prior to November 1, 1985 and who  has
     no rights to service except as hostler or hostler helper.
     (c)  Employees  in engine service who established  seniority
     prior to November 1, 1985 will continue to fill hostler  and
     hostler helper positions and vacancies thereon in accordance
     with agreements in effect as of that date.
     (d)  Yard crews may perform hostling work without additional
     payment or penalty to the carrier.
(8)  The  carrier shall have the right to offer "Reserve Fireman"
     status  to  any number of active firemen, working  as  such,
     with seniority as firemen prior to November 1, 1985 (who are
     subject  to  work as locomotive engineers).  Where  applied,
     Reserve  Fireman status shall be granted in seniority  order
     on  a  seniority district or home zone basis under the terms
     listed below:
     (a)  An  employee  who chooses Reserve Fireman  status  must
          remain  in that status until he either (i) is  recalled
          and  returns  to hostler or engine service pursuant  to
          Paragraph  (b), (ii) is discharged from  employment  by
          the  carrier,  pursuant  to  Paragraph  (b),  (iii)  is
          discharged  from  employment by the carrier  for  other
          good  cause,  (iv)  resigns  from  employment  by   the
          carrier,  (v)  retires  on  an  annuity  (including   a
          disability annuity) under the Railroad Retirement  Act,
          or  (vi)  otherwise  would  not  be  entitled  to  free
          exercise of seniority; whichever occurs first.  If  not
          sooner terminated, Reserve Fireman status and all other
          employment rights of a Reserve Fireman shall  terminate
          when he attains age 70.
     (b)  Reserve Firemen must maintain their engine service  and
          hostler  proficiencies while in such status,  including
          successfully  completing  any retraining  or  refresher
          programs  that the carrier may require and passing  any
          test  or examinations (including physical examinations)
          administered  for purposes of determining whether  such
          proficiencies  and  abilities  have  been   maintained.
          Reserve Firemen also must hold themselves available for
          return  to hostler and engine service upon seven  days'
          notice, and must return to hostler or engine service in
          compliance with such notice. Reserve Firemen  shall  be
          recalled in reverse seniority order unless recalled for
          service  as  engineer. Failure to comply  with  any  of
          these  requirements will result in  forfeiture  of  all
          seniority rights.
     (c)  Reserve Firemen shall be paid at 70% of the basic  yard
          fireman's  rate  for  five  days  per  week.  No  other
          payments  shall be made to or on behalf  of  a  Reserve
          Fireman except (i) payment of premiums under applicable
          health and welfare plans and, (ii) as may otherwise  be
          provided  for in this Article. No deductions  from  pay
          shall be made on behalf of a Reserve Fireman except (i)
          deductions  of  income,  employment  or  payroll  taxes
          (including  railroad  retirement  taxes)  pursuant   to
          federal,  state or local law; (ii) deductions  of  dues
          pursuant to an applicable union shop agreement and  any
          other deductions authorized by agreement, (iii) as  may
          otherwise  be authorized by this Article and  (iv)  any
          other legally required deduction.
     (d)  Reserve  Firemen shall be considered in active  service
          for  the  purpose of any agreement respecting firemen's
          rights to work or in any decline in business formula.
     (e)  Other  non-railroad employment while in Reserve Fireman
          status  is permissible so long as there is no  conflict
          of  interest.  There  shall be no  offset  for  outside
          earnings.
     (f)  Vacation  pay received while in Reserve Fireman  status
          will  offset  pay  received under paragraph  (c).  Time
          spent   in   reserve  status  will  not  count   toward
          determining  whether  .he  employee  is  eligible   for
          vacation in succeeding years. It will count as time  in
          determining  the  length of the vacation  to  which  an
          employee, otherwise eligible, is entitled.
     (g)  Reserve Firemen are not eligible for:
          Holiday Pay
          Personal Leave
          Bereavement Leave
          Jury Pay
          Other similar special allowances
     (h)  Reserve Firemen are covered by:
          Health and Welfare Plans
          Union Shop
          Dues Check-off
          Discipline Rule
          Grievance Procedure
          that are applicable to firemen in active service.
     (i)  When  junior employees are in "Reserve Fireman" status,
          a  senior  active fireman may request such status.  The
          carrier  shall  grant  such  a  request  and,  at   its
          discretion, recall the junior "Reserve Fireman."
(9)  Existing agreements providing for the furloughing of firemen
     in   event   of  decline  in  business  or  under  emergency
     conditions shall continue to apply.
(10) Any  conflict between the changes set forth herein  and  the
     provisions  of  existing agreements  shall  be  resolved  in
     accordance with the provisions of this Agreement.
ARTICLE XIII - RETENTION OF SENIORITY
      Any existing condition which requires a locomotive engineer
(1)  to  forfeit  ground service seniority,  or  (2)  to  forfeit
locomotive engineer seniority when working in ground service,  is
eliminated.
ARTICLE XIV - EXPENSES AWAY PROM HOME
      Effective July 1, 1986, the meal allowance provided for  in
Article II, Section 2 of the June 25, 1964 National Agreement, as
amended, is increased from $3.85 to $4.15.
ARTICLE  XV  -  BENEFITS  PROVIDED UNDER THE  RAILROAD  EMPLOYEES
NATIONAL
            HEALTH AND WELFARE PLAN
Section 1 - Continuation of Plan
      Except as provided in this Article, the benefits and  other
provisions  under  the  Railroad Employees  National  Health  and
Welfare  Plan will be continued.  Contributions to the Plan  will
be  offset by the expeditious use of such amounts as may  at  any
time  be  in Special Account A or in one or more special accounts
or  funds  maintained  by the insurer in  connection  with  Group
Policy  Contract GA-23000, and by the use of funds held in  trust
that  are  not  otherwise  needed  to  pay  claims,  premiums  or
administrative expenses which are payable from trust.
Section 2 - Benefit Changes
      The  following changes in benefits provided under the  Plan
and in matters related to such benefits will be made:
      (a)  Hospital Pre-Admission & Utilization Review Program  -
This  program shall include a comprehensive guidance and  support
structure  for employees and other beneficiaries covered  by  the
Plan   and   their   physicians  beginning   prior   to   planned
hospitalization  and  continuing  through  recovery  period.  The
program  shall  include,  among  other  things,  review  of   the
propriety  of  hospital admission (including the  feasibility  of
ambulatory  center  or  out-patient  treatment),  the   plan   of
treatment    including   the   length   of    confinement,    the
appropriateness of a second surgical opinion, discharge  planning
and   the   use   of  effective  alternative  facilities   during
convalescence. Reduced benefits will be provided if  the  program
is  not  fully complied with. This program shall become effective
as  soon as practicable in order to provide adequate time to  set
up and communicate the program.
      (b)  Extension  of Benefits - Vacation pay  received  by  a
furloughed  employee  shall not qualify  such  employee  for  any
benefits under the Plan and will not generate premium payments on
his behalf. This change shall become effective January 1, 1988.
      (c)  Reinsurance - Reinsurance will be discontinued as soon
as practicable.
Section 3 - Special Committee
      (a)  A  Special Committee selected by the parties  will  be
established   for   the   purpose   of   reviewing   and   making
recommendations  concerning ways to  contain  health  care  costs
consistent  with  maintaining the quality of  medical  care;  and
reviewing  the existing Plan structure and financing  and  making
recommendations  in  connection  therewith.  In   addition,   the
Committee may review and make recommendations with respect to any
other matter included in the parties' notices with respect
to the health care plan.
      (b) The Committee shall retain the services of a recognized
expert on health care systems to serve as a neutral chairman. The
fees and expenses of the chairman shall be paid by the parties.
      (c) The Committee shall be convened as promptly as possible
and  meet periodically until all of the matters that it considers
are  resolved.  However, if the Committee has  not  resolved  all
issues  by  August  1,  1986,  the  neutral  chairman  will  make
recommendations on such unresolved issues no later than September
1,  1986.   Upon  voluntary resolution  of  all  issues  or  upon
issuance of recommendations by the neutral chairman, whichever is
later, the Committee shall be dissolved.
      (d) The proposals of the parties concerning health benefits
(specifically,  the organization's proposals  dated  January  17,
1984,   entitled  "Revise  Contract  Policy  GA-23000"  and   the
carriers' proposals dated on or about January 23, 1984,  entitled
"C.  Insured  Benefits") shall not be subject to  the  moratorium
provisions  of  this Agreement, but, rather,  shall  be  held  in
abeyance  pending  efforts to resolve these  issues  through  the
procedure established above. If, after 60 days from the date  the
neutral Chairman makes his recommendations, the parties have  not
reached  agreement on all unresolved issues, the notices  may  be
progressed  under  the procedures of the Railway  Labor  Act,  as
amended.
      (e)  Agreement reached by the parties on these issues  will
provide for a contract duration consistent with the provisions of
Article  XVIII  of  the  Agreement, regardless  of  whether  such
agreement  occurs  during  the time that  the  proposals  of  the
parties are held in abeyance or subsequent to the time that  they
may  be  progressed  in  accordance with the  procedures  of  the
Railway Labor Act as provided for above.
ARTICLE XVI - INFORMAL DISPUTES COMMITTEE
      Disputes arising over the application or interpretation  of
this  agreement will, in the absence of a contrary provision,  be
referred to an Informal Disputes Committee consisting of an equal
number of representatives of both parties.
      If  the  Committee is unable to resolve a dispute,  it  may
consider  submitting  the dispute to arbitration  on  a  national
basis  for the purpose of ensuring a uniform application  of  the
provisions of this Agreement.
ARTICLE -VII -  LOCOMOTIVE DESIGN, CONSTRUCTION AND MAINTENANCE
Section 1 - Maintenance Of Locomotives
      The  parties recognize the importance of maintaining  safe,
sanitary, and healthful cab conditions on locomotives.
      This  Agreement  affirms  the carriers'  responsibility  to
provide  and maintain the aforementioned conditions particularly,
although  not  limited  to, such locomotive  cab  conditions  as:
heating,    water   coolers,   toilet   facilities,   insulation,
ventilation-fumes, level of cab noise, visibility,  lighting  and
footing.
      The  parties recognize that one way to achieve and maintain
safe, sanitary, and healthful cab conditions on locomotives is by
establishing  procedures  on  each railroad  for  monitoring  cab
conditions  and  expediting  the  reporting  and  correction   of
maintenance deficiencies.
A. Local Implementation
      Each  individual  carrier  will  designate  an  appropriate
official(s) who will contact the BLE General Chairman  (Chairmen)
and  arrange  a  meeting within 30 days from  the  date  of  this
Agreement for the following purpose:
       (a)   Review  the  policies  on  the  individual  railroad
concerning  the existing procedures for reporting and  correcting
locomotive  deficiencies,  assess  the  effectiveness   of   such
procedures,   and,  where  appropriate,  establish  methods   for
obtaining more satisfactory results.
     (b) Institute a program whereby the Local BLE representative
and  the  carrier's supervisors at each facility will participate
in  direct discussions regarding any maintenance problems at  the
locations  under their jurisdiction for the purpose  of  carrying
out  the  intent of this understanding, including evaluating  the
reports  and suggestions of either party and implementing agreed-
upon solutions thereto.
B. National Committee
     A national committee will be established within 30 days from
the  date  of  this Agreement, consisting of two members  of  the
National  Carriers' Conference Committee and two  representatives
of  the  BLE.  The  Committee may review and make recommendations
with respect to any maintenance problem on an individual property
that  is  referred to it by either party after efforts to resolve
such matter on the individual property have been exhausted.
     The Committee may also consider any matter where the parties
on an individual property have jointly concluded that the subject
matter  is  one  that  may be addressed more appropriately  on  a
national level.
Section 2 - Dispatchment Of Locomotives
      A  locomotive will not be dispatched in road  service  from
engine  maintenance  facilities where maintenance  personnel  are
readily  available,  and  an engineer will  not  be  required  to
operate the locomotive pending corrective action, if the engineer
registers a timely complaint with supervision with respect to the
controlling   unit   of  the  consist  that  is   determined   on
investigation to be valid concerning -
     (a)   the existence of a federal defect, as defined  by  the
     Federal  Railroad  Administration,  with  respect   to   the
     following matters:
          Exhaust gases (ventilation)
          Cab lights
          Locomotive cab noise
          Cabs,  floors  and  passageways (footing)  (cab  seats)
          (vision) (heat)
     and
     (b)  other conditions as follows:
          Lack of clean, sanitary toilet
          Lack of adequate cooled, potable water
          Lack of adequate toilet paper or hand towels
Should the complaint be found valid, and if there is another unit
in  that  consist  or  otherwise  readily  available  which  will
eliminate the protest, the units will be rearranged provided such
rearrangement will not result in unreasonable delay to the train.
If   the   engineer   performs  the  work   to   accomplish   the
rearrangement,  no  additional payment(s) will  be  allowed.  If,
however,  the official makes a good faith determination that  the
locomotive  is suitable for dispatch, the engineer  will  proceed
with the assignment.
      An  engineer will invoke the foregoing right in good  faith
and where a reasonable person would conclude that the carrier  is
in  substantial  non-compliance, i.e. more  than  technical  non-
compliance.
       In   determining  the  reasonableness  of  an   engineer's
complaint,  among the factors to be considered are the timeliness
of  the  complaint,  the  accessibility  of  the  means  to  take
corrective  action,  the  seriousness  of  the  deficiency,   the
engineer's  ability or inability to correct the  deficiency  with
means  at  his disposal and whether or not an unreasonable  train
delay would be incurred.
Section 3 - Locomotive Design and Construction
      In recognition of the desirability of consultation with the
General  Chairman  (Chairmen)  prior  to  the  ordering  of   new
Locomotives,  or  while formulating plans to modify  or  retrofit
existing  locomotives, the parties agree that, before any  design
and  construction  changes in locomotives are made  which  change
safety  or  comfort  features of the locomotive,  the  designated
officer  of  each  individual railroad will contact  the  General
Chairman (Chairmen) providing him with the opportunity to furnish
the  carrier  with  his recommendations for full  and  thoughtful
consideration by the carrier.
      This  Section 3 does not disturb existing local  agreements
that  set forth required specifications for particular locomotive
appurtenances or components.
ARTICLE XVIII - GENERAL PROVISIONS
Section 1 - Court Approval
      This  Agreement is subject to approval of the  courts  with
respect  to  participating carriers in the hands of receivers  or
trustees.
Section 2 - Effect of this Agreement
      (a)  The  purpose of this Agreement is to fix  the  general
level  of compensation during the period of the Agreement and  is
in  settlement  of the dispute growing out of the notices  served
upon  the  carriers  listed  in Exhibit  A  by  the  organization
signatory  hereto dated on or about October 20, 1979, January  3,
1984  and  January 17, 1984, and the notices served on  or  about
January 23, 1984 by the carriers.
      (b)  This  Agreement  shall  be  construed  as  a  separate
agreement  by  and on behalf of each of said carriers  and  their
employees  represented by the organization signatory hereto,  and
shall remain in effect through June 30, 1988 and thereafter until
changed  or  modified in accordance with the  provisions  of  the
Railway Labor Act, as amended.
      (c)  Except as provided in Sections 2(d) and 2(e)  of  this
Article,  the  parties  to this Agreement  shall  not  serve  nor
progress  prior to April 1, 1988 (not to become effective  before
July  1,  1988)  any notice or proposal for changing  any  matter
contained in:
     (1)  this Agreement,
     (2)  the proposals of the parties identified in Section 2(a)
          of this Article, and
     (3)  Section  2(c)(3)  of Article VIII of the  Agreement  of
          March 6, 1975,
and  any  pending notices which propose such matters  are  hereby
withdrawn.
      (d) The notices of the parties referred to in Article XV of
this   Agreement  may  be  progressed  in  accordance  with   the
provisions of Section 3(d) of that Article.
      (e) New notices or pending notices that are permitted under
the  terms  of  the  Letter  Agreement of  this  date  concerning
intercraft  pay relationships shall be governed by the  terms  of
that Letter Agreement.
      (f) Pending notices and new proposals properly served under
the  Railway  Labor Act covering subject matters not specifically
dealt  with  in Sections 2(c), 2(d) and 2(e) of this Article  and
which  do  not request compensation may be progressed  under  the
provisions of the Railway Labor Act, as amended.
      (g) This Article will not bar management and committees  on
individual  railroads from agreeing upon any  subject  of  mutual
interest.
DATED THIS 19th DAY OF MAY, 1986, AT WASHINGTON, D.C.
Rodney E. Dennis
Chairman of Arbitration Board
Charles I. Hopkins, Jr.                 W. J. Wanke
Carrier Member                          Organization Member

 
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