Thousands of rail workers prepared to strike Friday if unions and employers couldn’t reach common ground.
The two sides agreed to a tentative deal on Thursday.
Union members must ratify the deal before it’s finalized. But workers agreed not to strike during the ratification process.
The tentative agreement raises worker wages by 24 percent dating back to 2020, averaging about $11,000 per worker.
Workers will also be allowed to take time off to attend medical appointments. That time off will be unpaid.
This agreement benefits both parties, said President Biden.
“These rail workers will get better pay, improved working conditions, and peace of mind around their health care costs: all hard-earned,” he said in a statement. “The agreement is also a victory for railway companies who will be able to retain and recruit more workers for an industry that will continue to be part of the backbone of the American economy for decades to come.”