Amtrak will cut 10% of jobs and end funding for new high-speed rail projects as part of a major cost-cutting plan to align with federal priorities. This is reported by the railway transport news portal Railway Supply.

Amtrak faces growing pressure to control spending, and leadership changes have accelerated this shift. The CEO resigned in March, prompting a strategy review that focuses on cost efficiency and national network stability.

Amtrak Announces Workforce Cuts and Ends High-Speed Rail Funding
Bruce Leighty / Adobe Stock

Amtrak Restructures to Cut Jobs and Reduce Spending

The company saw a 15% increase in ridership last year compared to 2023, with the St. Paul-to-Chicago line outperforming expectations. Despite strong demand, financial constraints led to the cancellation of future high-speed rail developments.

Don’t miss…Japanese railways Invest in SkyDrive’s eVTOL Integration

In April, the U.S. Department of Transportation withdrew federal support for the Texas Central high-speed rail project. Shortly after, an Amtrak spokesperson confirmed the company will not pursue new high-speed initiatives, signaling a major policy change.

Amtrak Funding Shift and New Policy Initiatives

Flat funding now supports the entire national network instead of focusing only on the Northeast Corridor. According to Sean Jeans-Gail from the Rail Passengers Association, this allocation was unexpected but positive, given fears of deeper cuts.

Experts are also discussing a national equipment pool that would supply locomotives and trainsets to Amtrak and state partners. This approach, similar to aviation leasing models, could help maintain service while controlling infrastructure costs.

Amtrak’s decision reflects the tension between financial discipline and growth ambitions. While near-term goals center on stability and cost control, new strategies may lay the foundation for a stronger and more interconnected passenger rail network in the future.

Source: www.planetizen.com

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

Don’t miss…Amtrak Completes Major Phase in East River Tunnel Project

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