Off The Rails: Amtrak Slashes 20% Of Management In $100 Million Savings

Amtrak is cutting roughly 20% of its senior management positions, aiming to reduce expenses amid uncertainty over President Donald Trump’s infrastructure investment plans, sources familiar with the matter told Bloomberg.

The federally-owned passenger railroad – which operates as a for-profit entity, is targeting $100 million in annual cost reductions through these cuts, a source disclosed anonymously, sharing details not publicly announced.

In an official statement, Amtrak confirmed the elimination of roughly 450 management roles, reiterating the goal of achieving $100 million in yearly savings. The company emphasized these layoffs only impact corporate-level positions and assured that operational railroad jobs would remain unaffected. As of 2024, Amtrak employs approximately 22,700 people. (what!?)

“Amtrak identified opportunities to better align resources with the important work we are doing for America,” the statement reads.

Amtrak President Roger Harris communicated the details of these layoffs to employees in a recent letter, indicating that impacted staff would receive notifications in the first half of May. Additionally, the railroad has implemented a hiring freeze and halted promotions for management roles, Harris wrote.

“Amtrak is making a full review of our cost structure, which includes evaluating the size of our management staff,” reads the letter, adding that leadership plans “to notify impacted employees in the first half of May.”

Planning for these cuts reportedly began months ago, driven by uncertainty following Trump’s presidential victory and his subsequent moves to withhold previously approved grants. This has cast doubt over future infrastructure funding.

Significant projects potentially impacted by the management layoffs include new multi-billion-dollar rail tunnels in New York City and Baltimore, as well as a replacement of the Susquehanna River Bridge and other major initiatives along the Northeast corridor.

While construction on these major projects is currently ongoing, future financing—particularly funding initially expected from the fifth year of former President Joe Biden’s infrastructure bill—is now uncertain.