Amtrak Leadership Shakeup Amid Federal Funding Challenges and Privatization Talks

Amtrak CEO Stephen Gardner steps down following White House pressure amid privatization talks and funding challenges. The railroad faces safety concerns and operational disruptions, notably at Washington's Union Station. Amid increased ridership, Congress recently approved significant funding, while infrastructure repairs are urgently needed along the Northeast Corridor.

The White House, in a recent action influenced by President Donald Trump, has prompted the resignation of Amtrak CEO Stephen Gardner, according to sources told Reuters. Gardner ended his four-year tenure, citing the desire to maintain the railroad's support from the administration.

Transportation Secretary Sean Duffy emphasized addressing safety at Washington's Union Station, urging a cleanup to ensure commuters' safety. Simultaneously, Elon Musk proposed privatizing Amtrak, aligning with Trump's prior funding reduction attempts.

Despite operational challenges, Amtrak has seen ridership surpass pre-pandemic levels, with Congress approving $2.42 billion in annual funding. Infrastructure challenges on the Northeast Corridor demand attention, particularly the deteriorating New York-New Jersey tunnel.

(With inputs from agencies.)