Elon Musk closes deal to acquire Twitter, fires top execs: Source

Elon Musk closes deal to acquire Twitter, fires top execs: Source
Elon Musk closes deal to acquire Twitter, fires top execs: Source
CARINA JOHANSEN/NTB/AFP via Getty Images

(NEW YORK) — Tesla CEO Elon Musk has closed a deal to acquire Twitter, ending a monthslong saga that cast Musk as suitor, critic, legal adversary and ultimately owner of the social media platform.

A source familiar with the matter confirmed the deal closure to ABC News on Friday morning. Some of Twitter’s top executives were fired, including CEO Parag Agrawal, chief financial officer Ned Segal, chief legal officer Vijaya Gadde and general counsel Sam Edgett, and the company will likely be launching an internal investigation, according to the source.

Meanwhile, the New York Stock Exchange confirmed on Friday morning that Twitter shares are now suspended for trading, which means the social media platform is headed for delisting and is no longer a public company.

On Thursday night, Musk tweeted, “The bird is freed.”

The Washington Post, The New York Times and The Wall Street Journal were among the first outlets to report the news on Thursday evening, also citing sources familiar with the matter.

Musk — the richest person in the world, according to Forbes — reportedly acquired Twitter at his original offer price of $54.20 a share at a total cost of roughly $44 billion.

On Wednesday, Musk posted a video of himself walking into Twitter’s offices with a sink, with the tagline: “Entering Twitter HQ – let that sink in!”

After initially reaching an acquisition deal with Twitter in April, Musk moved to terminate the agreement in July, citing concerns over spam accounts on the platform.

Soon after, Twitter filed a lawsuit against Musk over his effort to nix the deal. The judge in the trial, set to take place in Delaware Chancery Court, gave Musk a deadline of Friday to reach a deal or proceed with the trial.

The deal completes a courtship that started in January when the billionaire first invested in Twitter.

By March, Musk had become the largest stakeholder in Twitter with the social media company announcing in April that Musk would join its board. Days later, however, Musk said he had decided against joining the board.

In April, Musk offered to buy Twitter at $54.20 per share, valuing the company at about $44 billion. The offer amounted to a 38% premium above where the price stood a day before Musk’s investment in Twitter became public. Roughly 10 days later, Twitter accepted Musk’s offer.

One month later, however, Musk said he had put the deal “temporarily on hold,” citing concern over what he said was the prevalence of bot and spam accounts on the platform. Roughly two hours later, Musk said he was “still committed” to the deal.

Twitter said it had provided Musk with information in accordance with conditions set out in the acquisition deal.

Eventually, Musk moved to terminate the deal in July. Soon after, Twitter sued Musk in Chancery Court in Delaware to force him to complete the deal.

A scheduling decision made by the court in July — to hold the trial over five days in October — appeared to align more closely with a timeline requested by Twitter, which had sought a four-day trial in September. Musk asked the court to set a trial date no earlier than mid-February 2023.

Now, the court case is off and the deal is done.

Copyright © 2022, ABC Audio. All rights reserved.

Police, firefighters had job with highest COVID death rates in 2020: CDC

Police, firefighters had job with highest COVID death rates in 2020: CDC
Police, firefighters had job with highest COVID death rates in 2020: CDC
Massimiliano Finzi/Getty Images

(NEW YORK) — Police officers, firefighters and other protection service employees had the occupation with the highest death rates from COVID-19 in 2020, new federal data shows.

The report, published Friday by the National Center for Health Statistics — a branch of the Centers for Disease Control and Prevention — looked at COVID mortality during the first year of the pandemic across 46 states and New York City by profession.

The authors only looked at Americans between ages 15 and 64 who were in the paid, civilian workforce, meaning those with unpaid jobs or who serve in the military were not included in the analysis.

Results showed that those with protective service occupations — including police, firefighters, fire inspectors, correctional officers, private detectives, security guards and probation officers — had the highest rate at 60.3 deaths per 100,000 workers.

According to federal data, this is twice as high as the overall workers’ COVID-19 death rate in 2020, which sits at 28.6 per 100,000.

This was followed by food preparation and serving-related staff at 57.5 deaths per 100,000; construction and extraction workers at 57.3 per 100,000; transportation and material moving employees at 56 per 100,000; and farming, fishing and forestry workers at 54.8 per 100,000.

By comparison, Americans working in jobs where they were surrounded by the sickest COVID-19 patients had lower death rates in 2020, the data shows.

Health care support workers — who help doctors and nurses care for patients, perform tests or manage equipment, among other tasks — had a rate of 31.2 per 100,000.

Meanwhile, health care practitioners had a rate of 19.1, below the national average.

The study did not examine why some professions were more at risk of dying than others.

However, the authors noted that many workers with high COVID-19 death rates were “often required to work in person throughout stay-at-home orders in 2020.”

What’s more, these employees were more likely to be working in close proximity to others, both colleagues and the public, increasing their risk of infection.

A report from the National Law Enforcement Memorial and Museum, which found COVID-19 to be the leading cause of death for officers in 2020 and 2021, said it was from direct exposure in the line of duty.

“It has been reported to NLEOMF that these officers have died due to direct exposure to the virus during the commission of their official duties,” the report said.

Among those who died is 48-year-old Cedric Dixon, the first uniformed member of the New York Police Department to succumb to COVID-19 in March 2020.

Dixon served the city for 23 years, according to the Detectives’ Endowment Association.

“We are hurting, we are crying, and we continue to fight,” then-Commissioner Dermot Shea said at the time. “He was known as the person who would do anything to help you. He is going to be so sorely missed.”

COVID-19 vaccines weren’t available until the end of December 2020, and they’ve since been shown to be protective against severe illness and death.

However, many police officer and firefighter and unions across the country have pushed back against vaccine mandates, several of whom have been fired for refusing to comply.

Copyright © 2022, ABC Audio. All rights reserved.

Hurricane Ian one month later: Images show destruction left in hardest-hit regions

Hurricane Ian one month later: Images show destruction left in hardest-hit regions
Hurricane Ian one month later: Images show destruction left in hardest-hit regions
Joe Raedle/Getty Images

(NEW YORK) — Parts of Southwest Florida that were left unrecognizable in the wake of Hurricane Ian are still cleaning up the remnants of the widespread destruction one month after the monster storm made landfall.

Hurricane Ian reduced entire neighborhoods to rubble in places like Fort Myers Beach and Sanibel Island after it ripped through Southwest Florida with Category 4 winds and menacing storm surge on Sept. 28.

So far, cleanup and recovery has been a slow and painstaking process, Holly Smith, mayor of Sanibel Island, told ABC News.

Recent images out of the regions hardest hit by the monster storm show the magnitude of work that remains to pave the way for rebuilding.

A photo out of Fort Myers Beach shows piles of rubble that remain among foundations torn apart by winds topping 150 mph. The area, flanked by restaurants and businesses, was previously frequented by tourists and locals.

The amount of work done so far, especially the speed of the temporary repairs for the Sanibel Island causeway, are “nothing short of miraculous,” Smith said. The open causeway is now allowing for residents, business owners and cleanup crews with permits to access the island to survey the damage, Smith said.

The destruction of Sanibel Island, a barrier island off the coasts of Fort Myers Beach and Pine Island, is “extensive,” Smith said. The electrical grid has been “decimated,” and while there is running water, sewage systems are not operating optimally, she added.

The mayor has remained in her Sanibel Island home, sticking mainly to the couple of rooms powered by a small generator, she said. When she surveys the island, still in recovery and debris removal, she sees condominium complexes that have completely been washed away, mountains of debris and homes that were completely destroyed.

It will take years, not months, to rebuild, Smith said. But the signs of life returning to the island are already evidence.

One grocery store, Jerry’s Foods on Periwinkle Way, is up and running, Smith said. One school, grades Kindergarten through 8th grade, has been relocated to another part of Lee County, she added.

“We’re resolved to get back together and build this Sanibel again,” she said.

Homes and trailer parks lining the coast were also decimated by the waters rushing in from the Gulf of Mexico during the storm.

Cleanup crews were seen using forklifts to transfer large pieces of drywall, building foundations and furniture into dumpsters.

The pier at Fort Myers Beach, one of the most recognizable landmarks in the area, is also in the process of being rebuilt after seawaters toppled over the structure as the storm system pushed onto land.

At least 127 people have died as a result of Hurricane Ian, according to local officials. After Ian passed, it prompted the largest urban search and rescue response in Florida history to find survivors.

The total economic damage from Hurricane Ian could reach up to $75 billion, according to a projection released earlier this month by Enki Research, a data firm that studies the financial impact of storms.

Copyright © 2022, ABC Audio. All rights reserved.

New York City Fire Department to be led by woman for first time in agency’s 157-year history

New York City Fire Department to be led by woman for first time in agency’s 157-year history
New York City Fire Department to be led by woman for first time in agency’s 157-year history
WABC-TV

(NEW YORK) — The largest fire department in the country has officially welcomed its first female commissioner.

Laura Kavanagh was sworn in Thursday morning as the head of the New York City Fire Department. She had been serving as acting commissioner of the department since February.

Kavanagh, 40, was surrounded by other top female officials in the mayor’s administration for what Mayor Eric Adams called a “historic appointment.”

“To say it is an honor of a lifetime is an understatement,” said Kavanagh, who will oversee the agency’s 17,000 employees, including firefighters, EMTs and paramedics, and a $2 billion budget.

She acknowledged her place as the first female leader of the FDNY in its 157-year history.

“This is the type of FDNY commissioner I will be — one that knows that I will succeed only if every person in my department and in our city sees my place at the table as also their own,” she said. “This moment, me being first, only matters if I am not the last.”

Adams said his administration conducted a national search for the next FDNY commissioner, but that they kept coming back to Kavanagh.

“Her style of leadership and commitment is just a reflection of what this city has to offer,” he said.

Kavanagh has worked for the agency for nearly a decade, including as first deputy commissioner. She became acting-fire commissioner after longtime Commissioner Daniel Nigro retired without naming a successor.

Adams touted her work in the FDNY’s response to the Ebola outbreak of 2015 and the COVID-19 pandemic. She also oversaw a firefighter recruitment campaign that saw the department’s most diverse applicant pool in its history, including graduating the largest class of women in three decades, he said.

In March, 13 women were among the graduating class of probationary firefighters. In August, eight women were among the graduates, bringing the total number of female firefighters in the city to 141, the most in FDNY history, the city said. Amid efforts to diversify the department, a recent New York City Council report found that women are underrepresented, with under 2% of firefighters being female.

Kavanagh’s appointment was met with support from several firefighting and EMT advocacy organizations and unions, including the Uniformed Firefighters Association; the Uniformed EMS, Paramedics, & Fire Inspectors Local 2507; the Uniformed EMS Officers Association, Local 3621; the FDNY Vulcan Society; the National Association of Hispanic Firefighters; and the United Women Firefighters Association.

“Women have bravely served in the FDNY since 1982. This appointment of Laura Kavanagh highlights the ability, dedication and service which women demonstrate every day to the people of New York,” Jackie-Michelle Martinez, president of the United Women Firefighters, said in a statement. “As the number of female firefighters increases, there will be continued interest in ensuring and creating a fair and amicable work environment.”

Kavanagh’s appointment follows in the footsteps of another historic first for the city. Earlier this year, Keechant Sewell became the first woman to serve as commissioner of the New York City Police Department, the largest police department in the country.

Copyright © 2022, ABC Audio. All rights reserved.

Fetterman, Shapiro to attend Pennsylvania Democratic Party fundraiser where Biden, Harris will speak

Fetterman, Shapiro to attend Pennsylvania Democratic Party fundraiser where Biden, Harris will speak
Fetterman, Shapiro to attend Pennsylvania Democratic Party fundraiser where Biden, Harris will speak
Mark Makela/Getty Images

(PHILADELPHIA) — President Joe Biden and Vice President Harris will deliver remarks at a fundraiser for the Pennsylvania Democratic Party in Philadelphia on Friday evening, where two key candidates on the ballot this November will also be in attendance, according to a Democratic official.

“Pennsylvania Gov. Tom Wolf, Lt. Gov. John Fetterman, Attorney General Josh Shapiro, U.S. Senator Bob Casey, Rep. Matt Cartwright, [Democratic National Committee] Chair Jaime Harrison and Pennsylvania Democratic Party Chair Senator Sharif Street will also be in attendance,” the official told ABC News.

Fetterman is the Democratic candidate for U.S. Senate, while Shapiro is the Democratic candidate for governor of Pennsylvania. Both are running in critical midterm elections in a pivotal battleground state.

Pennsylvania’s marquee Senate race is the best opportunity Democrats have to flip a seat currently held by Republicans, who are vigorously challenging Democratic incumbents across the country. Fetterman delivered a rocky performance at the first and only debate on Tuesday night, more than five months after experiencing a stroke. He jumbled words and struggled to complete sentences during the hourlong televised debate in Harrisburg against Republican candidate Dr. Mehmet Oz, a cardiothoracic surgeon and former TV host. Fetterman has refused to commit to releasing his medical records amid concerns about his health.

Meanwhile, the battle for Pennsylvania’s governorship could determine whether women have the right to an abortion. Shapiro’s Republican opponent is Sen. Doug Mastriano, who opposes abortion with no exceptions and has pushed former President Donald Trump’s false claims that the 2020 presidential election was stolen.

Friday’s fundraiser is expected to raise $1 million for the Pennsylvania Democratic Party, which the official said is “the most in recent history.” The keynote addresses by Biden and Harris will focus on “the criticall-important choice before voters” in the Keystone State, according to the official.

“With less than two weeks to go before Election Day, the president will contrast his vision for continuing to rebuild the economy from the bottom up and the middle out, with the Republicans’ mega MAGA trickle down plan to raise prescription drug costs, cut Medicare and Social Security, and double down on Trump’s massive tax cuts for the rich,” the official added.

Copyright © 2022, ABC Audio. All rights reserved.

Ukraine war expected to accelerate clean energy transition, new report finds

Ukraine war expected to accelerate clean energy transition, new report finds
Ukraine war expected to accelerate clean energy transition, new report finds
omersukrugoksu/Getty Images

(NEW YORK) — The war in Ukraine is reshaping the global energy landscape and is expected to speed up the transition away from fossil fuels as countries scramble for alternatives to Russian energy, according to a new report from the International Energy Agency.

Russia has been one of the world’s largest exporters of fossil fuels like oil and natural gas, but Russia has cut off supplies of natural gas to Europe since they invaded Ukraine and sanctions on Russian exports have threatened energy supplies and increased prices all over the world.

The IEA report found that government’s responses to this energy crisis like the Inflation Reduction Act in the U.S. as well as clean energy packages in the European Union, Japan and Korea will bring down global demand from fossil fuels and accelerate the deployment of less emitting forms of energy like wind and solar. China and India have also set new goals to roll out more renewable energy.

“The government responses around the world given to this energy crisis promise to be that we are seeing a turning point in the history of energy and this crisis, indeed, accelerates clean energy transitions,” IEA Director Fatih Birol said at a press conference.

The report found that these policies will contribute to a peak in fossil fuel demand for the first time since the industrial revolution, with demand for natural gas expected to peak this century and increasing use of electric vehicles contributing to a peak in demand for oil in the 2030s.

“In this scenario, coal use falls back within the next few years, natural gas demand reaches a plateau by the end of the decade, and rising sales of electric vehicles (EVs) mean that oil demand levels off in the mid-2030s before ebbing slightly to mid-century,” the report said. “This means that total demand for fossil fuels declines steadily from the mid-2020s to 2050 by an annual average roughly equivalent to the lifetime output of a large oil field.”

United Nations climate reports have found that global greenhouse gas emissions from burning fossil fuels need to peak this century to limit warming to 1.5 degrees Celsius, the target set by the Paris Agreement to prevent more dangerous impacts of climate change.

The report expects that the short-term increases in demand for oil and coal burning to offset the lack of Russian gas are likely temporary and will be replaced by lower emissions sources of energy in the long-term.

“Energy markets and policies have changed as a result of Russia’s invasion of Ukraine, not just for the time being, but for decades to come,” IEA Executive Director Fatih Birol said in the press release. “Even with today’s policy settings, the energy world is shifting dramatically before our eyes. Government responses around the world promise to make this a historic and definitive turning point towards a cleaner, more affordable and more secure energy system.”

Copyright © 2022, ABC Audio. All rights reserved.

Elon Musk closes deal to acquire Twitter: Reports

Elon Musk closes deal to acquire Twitter, fires top execs: Source
Elon Musk closes deal to acquire Twitter, fires top execs: Source
CARINA JOHANSEN/NTB/AFP via Getty Images

(NEW YORK) — Tesla CEO Elon Musk reportedly closed a deal to acquire Twitter on Thursday, ending a monthslong saga that cast Musk as suitor, critic, legal adversary and ultimately owner of the social media platform.

The Washington Post, The New York Times and Wall Street Journal were among the outlets to report the deal closure, citing sources familiar with the matter. ABC News has not confirmed.

Later Thursday night, Musk tweeted, “The bird is freed.”

Musk — the richest person in the world, according to Forbes — reportedly acquired Twitter at his original offer price of $54.20 a share at a total cost of roughly $44 billion.

On Wednesday, Musk posted a video of himself walking into Twitter’s offices with a sink, with the tagline: “Entering Twitter HQ – let that sink in!”

After initially reaching an acquisition deal with Twitter in April, Musk moved to terminate the agreement in July, citing concerns over spam accounts on the platform.

Soon after, Twitter filed a lawsuit against Musk over his effort to nix the deal. The judge in the trial, set to take place in Delaware Chancery Court, gave Musk a deadline of Friday to reach a deal or proceed with the trial.

The deal completes a courtship that started in January when the billionaire first invested in Twitter.

By March, Musk had become the largest stakeholder in Twitter with the social media company announcing in April that Musk would join its board. Days later, however, Musk said he had decided against joining the board.

In April, Musk offered to buy Twitter at $54.20 per share, valuing the company at about $44 billion. The offer amounted to a 38% premium above where the price stood a day before Musk’s investment in Twitter became public. Roughly 10 days later, Twitter accepted Musk’s offer.

One month later, however, Musk said he had put the deal “temporarily on hold,” citing concern over what he said was the prevalence of bot and spam accounts on the platform. Roughly two hours later, Musk said he was “still committed” to the deal.

Twitter said it had provided Musk with information in accordance with conditions set out in the acquisition deal.

Eventually, Musk moved to terminate the deal in July. Soon after, Twitter sued Musk in Chancery Court in Delaware to force him to complete the deal.

A scheduling decision made by the court in July — to hold the trial over five days in October — appeared to align more closely with a timeline requested by Twitter, which had sought a four-day trial in September. Musk asked the court to set a trial date no earlier than mid-February 2023.

Now, the court case is off and the deal is done.

Copyright © 2022, ABC Audio. All rights reserved.

How massive avian flu outbreaks will impact Thanksgiving turkey supply, prices

How massive avian flu outbreaks will impact Thanksgiving turkey supply, prices
How massive avian flu outbreaks will impact Thanksgiving turkey supply, prices
Mario Tama/Getty Images

(NEW YORK) — As avian flu outbreaks continue to ravage poultry production in the U.S. and overseas, turkey availability has drastically dropped and experts say the devastating wave shows no signs of letting up ahead of the Thanksgiving and holiday seasons.

According to the U.S. Department of Agriculture’s Livestock, Dairy, and Poultry Outlook report for October, turkey production will be lower than usual for the remainder of 2022 into early 2023 as a result of the deadly Highly Pathogenic Avian Influenza outbreaks.

“Turkey exports are adjusted slightly lower in 2022 and slightly higher in 2023, while imports are adjusted up in both years. Turkey prices are adjusted up on recent trends and lowered production expectations,” the USDA report stated.

As of the time of publication, USDA Animal and Plant Health Inspection Service data confirmed that 249 commercial flocks have been affected across 25 states with 47.76 million birds infected in total.

Farmers across the U.S. have reported horrific incidents of HPAI strains to the USDA that have wiped out entire flocks, and in other cases acted as a catalyst for farmers to cull infected birds in order to prevent the virus from spreading further.

Last month, the American Farm Bureau Federation announced that “families can expect to pay record high prices at the grocery store for turkey” due to bird flu and inflation.

The USDA reported that more than six million turkeys have died due to the virus nationwide thus far — nearly 14% of the total U.S. turkey production.

As a result, farmers are putting a premium on the birds that have remained healthy and ready for consumption.

According to a USDA report dated Oct. 21, combined with inflation, consumers can expect to pay around 20% more per pound for whole frozen turkeys this year, as compared to the price point at the same time last year. Ground turkey as well as bone-in and boneless drumsticks, cutlets and wings have also risen in price since last year.

For those still able or willing to take on the price hikes, the Centers for Disease Control and Prevention advises proper handling and cooking of all poultry and eggs to an internal temperature of 165 degrees Fahrenheit, as a general food safety precaution.

In the meantime, federal and state partners, according to the Animal and Plant Health Inspection Service, are working jointly to monitor and test areas near affected flocks to actively identify any disease in commercial poultry operations, live bird markets and in migratory wild bird populations.

Copyright © 2022, ABC Audio. All rights reserved.

Former MPD police officer confronts Jan. 6 Capitol attacker at sentencing

Former MPD police officer confronts Jan. 6 Capitol attacker at sentencing
Former MPD police officer confronts Jan. 6 Capitol attacker at sentencing
Tetra Images – Henryk Sadura/Getty Images

(WASHINGTON) — Former D.C. Metropolitan Police Department officer Michael Fanone appeared in court Thursday to confront a rioter who dragged him into the mob of Trump supporters that brutally assaulted him during the Jan. 6 attack on the Capitol, urging a federal judge to hand down the maximum sentence possible for his crimes.

“I would trade all this attention to return to policing,” Fanone said at the sentencing of Tennessee resident Albuquerque Head. “But I can’t do that. And the catalyst for the loss of my career and the suffering that I’ve endured in the past 18 months is Albuquerque Head.”

U.S. District Judge Amy Berman Jackson ultimately sentenced Head to seven-and-a-half years in prison, describing him as one of the “most serious offenders” in her Jan. 6 caseload and “instrumental to one of the most horrific attacks on officers” that day.

Prosecutors had urged Judge Jackson to sentence Head to eight years in prison, one year longer than the sentence handed down to one of Head’s co-defendants, Kyle Young, who also joined in the attack on Fanone.

They said the longer sentence was justified based on Head’s initiation of the assault on Fanone and his substantial criminal history that includes roughly 45 prior arrests.

During the hearing, prosecutors played out Fanone’s bodycam footage in which you can hear Head’s voice after grabbing Fanone, seemingly assuring he would protect him.

“I’m going to try to help you out here. You hear me?” Head said.

Fanone then replied, “Thank you.”

Seconds later, however, Head called out to the violent mob, “Hey! I got one!”

He then wrapped his arm around Fanone’s neck and started dragging him away from the barricade of officers protecting the Lower West End Tunnel.

Fanone was then viciously beat by rioters in the crowd and tasered in the neck, suffering a heart attack before he was escorted back to the police line and later transported to the emergency room, prosecutors said.

“Your Honor, I would ask you to show Mr. Head, the same mercy that he showed me on January 6,” Fanone said Thursday. “Which in case there’s any question in this courtroom — is none.”

It marked the second time Fanone has spoken at the sentencing for one of the rioters convicted of assaulting him. He delivered a similar statement in September at the sentencing of Young, urging Judge Jackson to hand down a harsh sentence and saying the attack “cost me my career, it cost me my faith in law enforcement and many of the institutions I dedicated two decades of my life to serving.”

Judge Jackson delivered impassioned remarks in her sentencing of Head, rebuking his attorneys for claiming he didn’t bear responsibility for what happened to Fanone after he pulled him into the crowd.

“I cannot accept that for one moment,” Jackson said. “Who exposed him to the mercy of the crowd?… Officer Fanone was trapped in a crowd you delivered him to.”

As she did in her sentencing of Young, Jackson called out directly those who still seek to spread the lie that the 2020 election was stolen, accusing them of stoking anger “for their own selfish purposes.”

“They need to think about the havoc they’ve wreaked, the lives they’ve ruined, the harm to their supporters’ families even, and the threats to this country’s Foundation,” Jackson said. “And the people who still believe what they’re being told, the people who are upset, need to understand that no matter how outraged they are — when they cross the line and break the law and most importantly, when they decide to do battle with the officers who are doing their duty, they will be held accountable and the consequences will be serious.”

Copyright © 2022, ABC Audio. All rights reserved.

Threat of nationwide rail strike grows after second union rejects labor deal

Threat of nationwide rail strike grows after second union rejects labor deal
Threat of nationwide rail strike grows after second union rejects labor deal
Florian Roden / EyeEm/Getty Images

(NEW YORK) — A union representing 6,000 rail workers said its members have voted against ratifying the tentative agreement brokered between rail companies, unions and members of President Joe Biden’s administration in September.

The vote by the Brotherhood of Railroad Signalmen, the second union to reject the White House-brokered deal, elevates the likelihood of a nationwide strike when a negotiation deadline arrives in November.

The potential work stoppage could paralyze the nation’s supply chain and transportation rail service as the U.S. enters peak holiday season.

White House Press Secretary Karine Jean-Pierre, when asked about the union vote during a briefing on Wednesday, said Biden “remains focused on protecting America’s families, farms and businesses by avoiding a rail shutdown.”

“We continue to urge both sides to work in good faith and avoid even the threat of a shutdown,” she added.

The vote against the contract centered on frustration with a lack of paid sick days, according to a statement from Brotherhood of Railroad Signalmen President Michael Baldwin.

“For the first time that I can remember, the BRS members voted not to ratify a National Agreement,” he said.

The rejection of the deal came despite a 24% compounded wage increase and preservation of the members’ health care benefits, Baldwin added.

The National Carriers’ Conference Committee, or NCCC, which represents freight railroads in national collective bargaining, expressed disappointment over the union vote.

The tentative contract “included the largest wage package in nearly five decades, maintained rail employees’ platinum-level health benefits, and added an additional day of paid time off,” the NCCC said in a statement.

The contract was rejected by roughly 60% of members in the the Brotherhood of Railroad Signalmen, while nearly 40% voted in favor of the deal, the union said. The vote garnered the highest participation rate in union history, it added.

In all, 12 unions representing 115,000 workers stand to ratify a labor agreement with rail companies. The Brotherhood of Maintenance of Way Employees division of the Teamsters, which represents 12,000 members, rejected the tentative agreement earlier this month.

Six unions have ratified the deal brokered by the White House, the NCCC said.

The two largest rail unions — the Brotherhood of Locomotive Engineers Trainmen, or BLET, and the SMART Transportation Division, or SMART-TD, which make up roughly half of all rail workers — are set to finish voting in the middle of next month.

The unions that voted down the agreement have vowed to continue negotiations at least until Nov. 19, when a strike could ensue.

“The artery of the US economy is the rail system. It’s one of the ways we get everything around. One third of everything gets around this way. And when you cut it, you have a stroke,” Diane Swonk, chief economist at global tax firm KPMG, previously told ABC News.

A potential strike could lead to $2 billion a day in lost economic output, according to the Association of American Railroads, which lobbies on behalf of rail companies.

Freight railroads are responsible for carrying 40% of the nation’s long-haul freight and a work stoppage could jeopardize these shipments.

Copyright © 2022, ABC Audio. All rights reserved.