Norfolk Southern Corporation.
NSC.US | Freight rail transport
Norfolk Southern Corporation is a major freight railroad company in the United States. It operates an extensive rail network across the eastern U.S., transporting a wide variety of goods including coal, agricultural products, industrial products, and consumer goods. The company provides rail transpo...Show More
Better Health for All
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Norfolk Southern faces significant negative health externalities, notably from the 2023 East Palestine derailment which caused public health concerns and health issues for residents due to hazardous material release.
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This incident led to a $15 million civil penalty.
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The company has also incurred over $932 million in environmental violation penalties since 2000, including $600 million for an environmental violation and $310 million for a water pollution violation in 2024, indicating ongoing community health impacts from pollution.
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Questions regarding potential conflicts of interest have been raised concerning cleanup efforts in East Palestine.
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Despite these, the company's rail operations contribute positively by eliminating 27 million highway miles daily
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and helping customers avoid approximately 15 million tons of yearly carbon emissions,
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reducing air pollution and road accidents. Regarding safety, the company had at least two notable incidents in the past three years, including the 2023 East Palestine derailment and a 2024 railroad safety violation.
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However, it reported a 38% reduction in mainline accident rate year-over-year in 2023
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and a 35% reduction in employee injury rate since 2020.
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The FRA Personal Injury Index decreased from 1.51 in 2020 to 1.09 in 2023.
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Norfolk Southern is implementing improving safety systems, such as hot bearing and acoustic detectors,
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and participates in the Confidential Close Call Reporting System (C3RS).
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For healthcare workforce support, the company trains over 5,000 first responders annually
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and launched a new regional training facility.
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It also provides comprehensive, free drug and alcohol rehabilitation services for employees and their family members through an Employee Assistance Program (EAP), which includes evaluations, referrals, and support groups.
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EAP representatives keep records confidential, adhering to HIPAA rules.
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The company's core business does not involve health-related products or services for the general public, making several KPIs not applicable.
Fair Money & Economic Opportunity
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Norfolk Southern Corporation is a freight railroad company, not a financial institution. As such, the KPIs under the 'Fair Money & Economic Opportunity' value, which are designed for financial services, lending, and deposit products, are not applicable to its core business. The company does not offer consumer credit products, manage customer finance data, or operate financial service access points. While Norfolk Southern made community contributions of $18.2 million in 2023
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and $18.3 million in 2024
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to charities and grant programs, these are general charitable donations and do not constitute reinvestment in community finance or profit-sharing with underserved communities as defined by this value.
Fair Pay & Worker Respect
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Norfolk Southern accumulated numerous substantiated labor-law and safety violations in 2023 and 2024. In 2023, OSHA cited the company for four safety violations related to a derailment, resulting in a $49,111 penalty.
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Additionally, in 2023 and 2024, the company incurred penalties for at least 10 distinct railroad safety violations.
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The CEO-to-median employee pay ratio was 109:1 in 2023.
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Tentative collective bargaining agreements cover 55% of the company's unionized workforce.
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The FRA Personal Injury Index was 1.09 in 2023, which was almost 14% lower than the 10-year average.
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Fair Trade & Ethical Sourcing
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The provided articles indicate Norfolk Southern has a Supplier Code of Conduct aligned with international standards
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and emphasizes supplier diversity by partnering with small and diverse businesses
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. However, the articles do not contain specific quantitative data points such as the percentage of spend covered by fair-trade certifications, audit frequency, number of forced or child labor incidents, traceability coverage, remediation speed, percentage of contracts with ethical clauses, share of spend on high-risk materials, or the percentage of procurement budget directed to diverse suppliers. Therefore, no KPIs can be scored against the rubric.
Honest & Fair Business
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Norfolk Southern faced criticism for retaliating against employees who raised safety concerns, indicating a culture that discourages internal reporting.
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In September 2024, CEO Alan Shaw was terminated following an investigation into alleged ethical misconduct.
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The company also faced a shareholder lawsuit in December 2023, alleging breaches of fiduciary duties by officers and directors related to safety failures.
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Following the February 2023 East Palestine train derailment, the company committed $115 million to community aid, but was subsequently sued by the East Palestine School District in January 2025 for allegedly abandoning plans for a $30 million wellness center, raising questions about transparency and accountability.
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Kind to Animals
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As a freight railroad company, most KPIs related to product testing, animal-derived ingredients, animal agriculture, and related R&D or collaborations are not applicable to Norfolk Southern's core business model. For wildlife conservation impact, the company protected 1,105 acres of ecologically significant land
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. However, a train derailment in East Palestine, Ohio, led to pets becoming sick or dying from chemical exposure
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, and livestock developing illnesses
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. Despite this, specific quantitative thresholds for either positive or negative scoring, such as percentage of revenue invested or documented species population changes, could not be precisely met in the rubric, leading to omission. Similarly, while the company's operations intersect with animal welfare, no evidence was provided regarding its active engagement in animal welfare policy improvement or advocacy.
No War, No Weapons
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Norfolk Southern Corporation's primary operations are focused on rail transportation, indicating no direct involvement in arms manufacturing or military contracts. In 2023, the company donated $18.2 million to community development and safety programs.
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Additionally, it employs over 2,000 active and veteran service members, supporting their transition to civilian careers.
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Planet-Friendly Business
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In 2024, the company's total Scope 1, 2, and 3 greenhouse gas emissions were 5,963,862 metric tons CO2e.
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It has a science-based target, validated by SBTi, to reduce Scope 1 and 2 GHG emissions intensity by 42% by 2034 from a 2019 base year, and reported a 6% reduction in emissions intensity from the 2019 base year in 2023.
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However, the company has no commitment to a net-zero target due to feasibility concerns.
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In 2023, 2% of its total energy consumption was from renewable sources, including the purchase and retirement of Renewable Energy Credits and Green-e credits.
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The waste diversion rate was 88% in 2024.
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The company owns Brosnan Forest, a 14,400-acre nature preserve, with over 13,000 acres protected through conservation easements, 6+ miles of streams and 800+ acres of wetlands restored, and 1,700 acres of loblolly pine plantations returned to native longleaf habitat.
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The company's report is prepared in alignment with the TCFD framework and includes a TCFD Index mapping various disclosures.
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It conducted a company-wide, qualitative transition scenario analysis using NGFS Disorderly: Delayed Transition and Hot House World: NDCs scenarios, and a physical climate change scenario analysis in 2022 focusing on critical assets in short, medium, and long-term scenarios.
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In 2022, 70% of the rail purchased was made from recycled steel.
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Respect for Cultures & Communities
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Norfolk Southern appointed a Director of Public Engagement in September 2023 to enhance collaboration and foster equitable dialogue with local communities, addressing issues such as at-grade crossings and public events, reflecting a commitment to cultural resources protection.
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In July 2023, the company donated $500,000 to the National Center for Civil and Human Rights in Atlanta for its expansion, including new galleries and educational spaces dedicated to civil rights history.
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Following a derailment incident in East Palestine, Ohio, Norfolk Southern committed over $13 million to community recovery, providing financial assistance to families, local schools, and first responders.
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In 2023, the company contributed approximately $18.2 million to charitable organizations across its 22-state network, with a focus on safety, sustainability, workforce development, and building thriving communities, reflecting a commitment to cultural resources protection.
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Safe & Smart Tech
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Norfolk Southern experienced two major technology outages in 2023, caused by vendor software defects, which the company confirmed were non-cybersecurity related.
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In response, the company is enhancing system resilience and collaborating with vendors to strengthen cybersecurity measures.
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For operational safety, Norfolk Southern has deployed AI-driven Digital Train Inspection Portals with Machine Vision Inspection technology and 38 deep learning algorithms across its network to identify railcar defects
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, with the first portal operational in Leetonia, Ohio, and more planned through 2024.
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Zero Waste & Sustainable Products
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Norfolk Southern recycled 100% of its replaced rail, old cross ties, and steel, and manufactured 70% of new rail from recycled material.
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In 2021, the company diverted more than half of its waste from landfills.
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Waste reduction initiatives include reclaiming over 1.6 million gallons of used oil, recycling 100% of replaced rail, and recycling all old cross ties and steel.
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The company also committed to the Operation Clean Sweep initiative, targeting zero loss of plastic resin into the environment.
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Furthermore, Norfolk Southern collaborated on a new gondola railcar design using lighter-weight steel to extend its lifespan to approximately 50 years.
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