HUNTINGTON, W.Va. — The depth of the steep downturn in coal reared its ugly head again Monday when CSX announced the closing of its division and administrative offices in Huntington.
The move will impact 121 train dispatchers, yardmasters, clerks and signal workers. The office has overseen CSX train operations for a territory stretching from Richmond, Va., to the Ohio Valley along with parts of Tennessee and Kentucky. The move was made because there aren’t as many coal trains as there used to be, CSX spokesperson Melanie Cost told MetroNews.
“This is really the result of the continued decline in coal traffic through the region as well as natural gas prices being so low and environmental regulations,” Cost said.
The work of the Huntington office will be reassigned to five other divisions in Atlanta, Baltimore, Florence, Great Lakes and Louisville.
CSX has lost more than $1 billion in coal revenue in recent years, according to Cost.
“For CSX alone it’s been $1.4 billion over the last four years and because of that change and the change in the traffic we’ve seen through this area it doesn’t make any sense to have an administrative function through this area anymore,” she said.
Despite the administrative office building closing on 7th Ave. in Huntington, CSX will continue to operate its locomotive shop in the area.
Discussions are underway with the impacted workers, Cost said.
“We have 121 employees who report into this division office. They’re going to keep working over the next couple of months to help support the transition of all of the administrative functions and then after that transition period, which will vary depending on the role, many of them will be offered relocation in other parts of the network where there is higher demand,” Cost said.
Huntington owes its creation, its name and its growth to the rail industry. The layout of the city was designed by Collis P. Huntington, the founder of the Chesapeake and Ohio Railway (the forerunner of CSX), in the 1860s and 1870s.
“We have an amazing relationship with this community and we’re so grateful for their service. We plan to be working very closely with them to understand what they need and to continue to be a good neighbor in Huntington. We will continue to have a presence here,” Cost said.