Find the Skilled Railroad
Workers You Need
- Spring 2025
- Paul Maurer
Generally, railroad companies schedule track construction and preventative repairs for the spring and summer. As these capital projects pick up, there’s an increase in demand for skilled workers.
There are still too few skilled workers in the industry. Of the categories of employees of Class 1 freight railroads, ‘Train and engine’ is the largest category. ‘Maintenance of way and structure’ and ‘maintenance of equipment and storage’ are the next two largest categories, followed by ‘professional and administrative’ employees, ‘executive’ employees, and ‘other transportation’ employees. As of November 2024, employment in all categories is less than in 2017, especially the three that rely on skilled labor, according to the Federal Railroad Administration.
Most of these unfilled railroad jobs arise from the need to replace skilled workers who have retired or changed occupations. This poses a dilemma since not enough young people are entering the trades. For every five baby boomers that retire, only two candidates of a younger generation enter a skilled-trade occupation. Consequently, there are an estimated 500,000 more skilled trades jobs than workers to fill those roles.
For a railroad industry looking to modernize, the recruitment crisis among 18-to 34-year-old workers couldn’t happen at a worse time. Shortages of skilled workers can be incredibly disruptive to railroad operations. It can create delays from coast to coast due to the interconnectedness of rail networks, even when a shortage exists in only one region. Finally, with an increasing reliance on sophisticated railroad technology and automation, there’s a growing need for workers with the ability to learn, use, and maintain these new technologies. The industry’s ability to adapt and grow is limited without enough people with these technical skills.
The Railroad Retirement Act allows railroad workers with at least 10 years of service to retire at age 60. However, as the baby boomer generation ages, railroads face challenges finding qualified workers.
Source: https://www.bls.gov/cps/cpsaat18b.htm
Casting a wide net for X, Y, and Z
Working in railroads as a career option was one of the best-kept secrets. However, with the looming shortage, recruitment ads are beginning to appear everywhere. Some Class 1 railroads have adopted a practice of hiring continuously to create a more balanced mix of age and tenure. Since each generation has its perceptions and values, they are not motivated by the same things. Fortunately, much about the railway industry can appeal to the next generation of skilled workers.
Salary and Benefits
Gen Z workers are the least motivated by salary but expect a competitive salary and will compare theirs with others on social media. On the other hand, surveyed Millennials rank base pay as the most influential factor in selecting and staying in a job. With Gen X, salary is essential, along with stability and a place where they can succeed. Baby Boomers.
The railroad industry provides competitive pay and benefits. Just don't expect it to be an 8 to 5 office job.
Training, Supervision, Feedback
Gen Z is the most recent generation to enter the workforce. They want to invest in a company that will invest in them, with 84 percent of those surveyed expecting their employer to provide formal training and constant feedback. While Millennials are more apt to jump from one company to another for higher pay, they thrive when there’s structure, continued learning, and skills training with feedback. Gen Xers prefer to work independently and make their own choices with little supervision, but they are most engaged in learning and becoming experts in their field, so they appreciate training and workshops. Boomers don’t require constant feedback. They’ll assume everything is okay unless something is said.
While a college education is not necessary to have a career in the railroad industry, working in the industry requires specialized skills and knowledge. Railroads provide extensive on-the-job training along with internships and apprenticeships. Afterward, there are opportunities for advancement with additional certifications, continuing education, and sometimes professional mentoring.
Transferring know-how
Brian and Barry Isringhausen, co-founders of Cranemasters, fully appreciate the value of hands-on experience with a mentor. Their childhood immersion in the railroad industry involved accompanying their father on train derailments. This experience, which began a lifetime of learning, equipped them to grow Cranemasters into one of the most innovative and responsive rail contracting businesses.
Recognizing that “knowledge transfer” is mission-critical for employers and employees, Cranemasters developed a proprietary project management system. It is designed to ensure that everyone follows the best practices and procedures for handling some of the rail industry’s most challenging jobs. Optimizing safety and efficiency throughout the company’s field operations ensures the continuity of excellence in a business with unpredictable variables.
Corporate Culture & Recognition
Gen Zers want more than a job; they want purpose and authenticity and are motivated by social rewards. Millennials want a place to work where they can collaborate with others. Gen Xers are content working independently and believe promotions should be based on merit, not seniority.
Gen Z is the first generation born into a tech-centric world, and Millennials are also very tech-oriented. Both can appreciate having a role in sustaining the American economy and way of life and how important it is to modernize the railroad industry. They also expressed the desire to work in an environment involving communication, teamwork, and a sense of camaraderie. For those concerned with the environment, generations concerned with the environment will appreciate the green aspect of railroad transit.
Work-life Balance
Baby boomers are known for being goal-oriented and career-focused. They have little regard for work-life balance, with work tending to be the center of their lives. On the other hand, Generation X introduced the concept of a work-life balance into the workplace. Millennials are ambitious, but their motto is “work hard, but work where you can play hard too.” They want the lifestyle money can buy and the time to enjoy family and friends. Finally, for Gen Z, work-life balance is one of their highest priorities.
With sufficient new hires, the next generation of skilled railroad workers can be where there’s a happy equilibrium between long and irregular hours and time off with above-average compensation.
What about college?
Approximately 60 percent of high-school graduates enroll in a college or a university, perhaps assuming it’ll lead to a good job. After graduation, though, half take jobs they could’ve had without a degree, and many STEM students pursue careers unrelated to their degrees.
For those interested in the railroads, only a handful of college programs focus on the railroad industry. Illinois offers B.S., M.S., and Ph.D. programs within the Department of Civil and Environmental Engineering with a railway transportation focus. Penn State Altoona offers an ABET-accredited Rail Transportation Engineering program. The Rail Academy of Central California (TRACC) provides a two-year Railroad Operations program.
However, most colleges or universities offer programs that indirectly relate to rail jobs, such as engineering, computer science, and transportation logistics. These disciplines are key to railroad innovation and modernization and are another category of skilled labor the industry needs to employ.
Military Vets
U.S. railroads have a 150-year history with the military. They began transporting troops, supplies, artillery, and horses for the Union and Confederate forces during the Civil War. Since then, railroads have continued to support U.S. military operations. Conversely, many veterans have transitioned to serving the military and the U.S. public by working directly for private railroad companies. As of September 2024, one in six rail employees are veterans, according to the Association of American Railroads. This is not surprising.
There are many similarities between military service and life as a railroader. Culturally, the military emphasizes selfless service, dedication, discipline, and teamwork, sharing the same ethos and values as railroaders. Additionally, the military heavily relies on engineers, mechanics, logistics experts, IT specialists, and others with skills that the railroad industry needs. Furthermore, federal law requires individuals to be at least 18 years old to work for the railroads—or 21 for certain roles, such as operating a locomotive. They must be physically capable of performing the job, which can involve lifting heavy objects, walking long distances, climbing on and off trains, and working outdoors in extreme heat or cold. Many veterans are accustomed to working in dangerous, gritty industrial jobs outdoors around large machinery. All these factors, combined with their emphasis on safety and maintaining constant situational awareness while adapting to changing conditions—including long, irregular hours—make veterans especially well-suited for careers in the railroad industry.
It’s an appealing option for military veterans—one that can provide a stable income with excellent retirement benefits. Those who retire after 30 years of service receive more than twice the benefit than the average Social Security recipient. Ultimately, railroad companies provide veterans with a rewarding career where their public service continues to be appreciated and valued.
Cranemasters. Your Skilled Railroad Workforce On Demand
Finding and maintaining a skilled railroad workforce can be costly and time-consuming. Our company takes that burden off your shoulders, providing experienced, highly trained railroad professionals on demand. You no longer need to worry about recruiting, training, or retaining employees—our workforce is ready to deploy whenever and wherever you need them.
With our services, you avoid the costs of payroll, benefits, and downtime when work is slow. Instead of maintaining a full-time workforce with fluctuating workload demands, you get a flexible, cost-effective solution that ensures productivity without unnecessary overhead. Our teams are certified, safety-trained, and available 24/7 to meet your project requirements.
Let the Cranemasters workforce keep your operations on track. Partner with us for seamless, efficient, and cost-effective railroad solutions.
