Amtrak is cutting 450 jobs and eliminating vacant roles to save $100 million annually, as political uncertainty clouds future federal support for the U.S. rail operator. This is reported by the railway transport news portal Railway Supply.

Amtrak is cutting 450 jobs and eliminating vacant roles to save $100 million annually, as political uncertainty clouds future federal support for the U.S. rail operator
FILE PHOTO: Travelers line up to board Amtrak trains inside the Daniel Patrick Moynihan Train Hall at Pennsylvania Station ahead of the Thanksgiving holiday in Manhattan in New York City, New York, U.S., November 21, 2023. REUTERS/Mike Segar/File Photo

The company said the cost-cutting plan includes a formal reduction-in-force and scrapping unfilled positions. These steps, combined with earlier efficiency moves, are expected to ease financial pressure.

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Leadership Changes Heighten Focus on Amtrak

In March, the White House pushed Amtrak CEO Stephen Gardner to resign after pressure from Donald Trump. The board has not named a permanent successor, but President Roger Harris currently leads operations.

At the same time, Elon Musk, who advises Trump on federal reforms, said Amtrak should be privatized. His suggestion added fuel to the ongoing debate over the company’s reliance on taxpayer funding.

Amtrak Sees Record Ridership Despite Financial Losses

In 2024, Amtrak ridership exceeded pre-pandemic levels for the first time. The company recorded 32.8 million trips in 2023—a 15% increase—and generated $2.5 billion in passenger revenue, up 9% from the prior year.

Despite those gains, Amtrak reported a $705 million adjusted operating loss for the year ending September 30, 2024. Still, the result marked a 9% improvement over 2023’s deficit.

Congress approved $2.42 billion in annual funding through September 2025, slightly more than in 2023. The 2021 infrastructure bill also secured $22 billion for Amtrak over five years, supplementing yearly allocations.

Amtrak is now under heightened scrutiny to cut costs and improve efficiency. With federal backing uncertain beyond this fiscal year, the rail operator is restructuring to adapt to new political and financial realities.

Source: bluewaterhealthyliving.com

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