As CSX “continues to match network resources to business demand and drive additional efficiency,” the company announced Jan. 19, 2016 that it is consolidating its operations administration from ten divisions to 9 and closing administrative offices at Huntington, W.Va. Huntington Division administrative responsibilities will be reassigned to five adjoining divisions: Atlanta, Baltimore, Florence, Great Lakes and Louisville.
CSX says it will continue to run trains over the territory, and its yards and other facilities in the Huntington region—including the Huntington locomotive shop—will continue operations. The company says it “remains committed to the Huntington community, which has played a vital role in railroading and American commerce since its namesake Collis P. Huntington completed the Chesapeake and Ohio Railway in 1873.”
The 121 management and union employees who currently report to the Huntington Division offices will remain employed in the area supporting the transition of administrative responsibilities over the next several months. “At the conclusion of the transition period, the timing of which may vary by role, many employees will be given an opportunity to fill positions in other areas of the network,” CSX says.
Primarily serving customers in West Virginia, Kentucky, Tennessee and Ohio, the Huntington territory encompasses the Central Appalachian coal fields, which have been significantly affected by low natural gas prices and regulatory actions. Over the past four years alone, CSX’s coal revenues have declined $1.4 billion. CSX says the announcement “is part of CSX’s focus on reducing structural costs and aligning resources with demand in its coal fields, and follows the reduction of train operations at Erwin, Tenn. and the closing of mechanical shops at Corbin, Ky.”
CSX adds that it “remains firmly committed to providing safe, reliable rail service to customers throughout the region. CSX maintains more than 2,000 miles of track in West Virginia and handled more than 1.7 million carloads of freight in the state in 2014.”