WASHINGTON – Amtrak announced to employees yesterday that it would be offering buyouts to employees not covered by labor agreements. In a special employee advisory, Amtrak said starting next week it would be offering non-agreement employees a Voluntary Separation Incentive Payment in order “to better allocate its resources and align the structure of the company in accordance with its Strategic Plan and within the financial realities it faces.”
Employees not covered by labor contracts and with at least one year of service may elect to participate in the plan, starting Nov. 7 and lasting through Nov. 25. Amtrak said by offering the voluntary plan now, it would be a way to reduce the impact of future involuntary separations. If cost reduction and organizational expectations are not achieved, Amtrak said it will implement an involuntary reduction in the number of employees beginning in January 2012.
Amtrak is facing the possibility of severe cuts as it appears the Federal government will significantly reduce the amount of funding it will receive in the next fiscal year.
