The U.S. Department of Transportation said on Thursday it helped redirect Amtrak bonuses to frontline workers, shifting what it described as excessive executive payouts toward the railroad’s day-to-day workforce.

This is reported by the railway transport news portal Railway Supply.

USDOT Awards $488M in BUILD Grants for Key Projects

Under the arrangement, more than 18,000 employees will receive $900 bonuses this holiday season, according to a U.S. Department of Transportation briefing-room release.

DOT agreement with Amtrak bonus shift

DOT said the agreement was reached with Amtrak’s management and board of directors, and that roughly half of leadership bonus money will be reallocated to unionized frontline employees. Officials connected the move to what they described as a record year for ridership and revenue.

Don’t miss…Northern Lights train ride Norway: an Arctic night journey

Trump administration DOT announcement and union reaction

Mark Wallace, president of the Brotherhood of Locomotive Engineers and Trainmen, said the shift followed pressure from the Trump administration and would send end-of-year bonuses to 18,000 frontline workers rather than limiting payouts to executives. The change and the union response were also covered by Railway Supply. Wallace called it overdue recognition for the employees who keep the railroad running.

Sean Duffy Amtrak $900 bonus announcement

Transportation Secretary Sean Duffy reiterated the decision in a Friday post on X, writing that “Christmas is coming a little early” for the 18,000 Amtrak workers receiving the $900 payments. He added that the Trump administration was delivering “LOWER COSTS and BIGGER PAYCHECKS.”

DOT framed the move as part of a broader effort to have Amtrak’s executive leadership team give up half of the bonuses they would have otherwise received under what the department described as “misplaced priorities.”

The agency said it identified “Biden-Buttigieg era” bonus structures for Amtrak’s executive team that led to what it called exorbitant payouts for senior staff, a change also reported by the Associated Press. DOT also said that under Duffy it plans to restructure those levels to be more competitive while ensuring employees are properly rewarded.

Earlier this year, Duffy also criticized the Biden administration and former Transportation Secretary Pete Buttigieg, arguing they left behind an “unprecedented backlog” of critical infrastructure safety improvements across the country.

News on railway transport, industry, and railway technologies from Railway Supply that you might have missed:

Find the latest news of the railway industry in Eastern Europe, the former Soviet Union and the rest of the world on our page on Facebook, Twitter, LinkedIn, read Railway Supply magazine online.

Place your ads on webportal and in Railway Supply magazine. Detailed information is in Railway Supply media kit