Amtrak CEO forced to resign by Trump administration amid talks of privatization

• The CEO of Amtrak resigned this week. Stephen Gardner submitted his resignation after the Trump administration asked him to leave.
• Gardner said his resignation is effective immediately so that Amtrak will have the confidence of the current administration.
• Elon Musk, who is overseeing the Department of Government Efficiency, has suggested privatizing the nation’s passenger railroad.

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The CEO of America’s passenger railroad, Amtrak, has resigned as of Wednesday, March 20, under pressure from the Trump administration. Reuters reported that Stephen Gardner’s departure is effective immediately.

Challenges remain for Amtrak with delayed deliveries of the new high-speed Avelia Liberty trains, which are expected to begin passenger service this spring.

Why did Gardner depart abruptly?

A White House official said Gardner was asked to leave and the Amtrak CEO did so. He said he wants to ensure that Amtrak continues to have the faith and confidence of the current administration.

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Gardner had been the CEO for four years, and had been with Amtrak since 2009 while rising up the ranks.

How has ridership fared under Gardner’s leadership?

Amtrak reported in December that ridership in 2024 topped 2019 pre-COVID levels, reaching a record high. That came on the heels of a 15% increase in 2023, with nearly 33 million customer trips.

In the week of March 9, Congress approved $2.4 billion in funding for the rail carrier through the end of September. It had previously approved $22 billion for Amtrak over five years, as part of the massive infrastructure bill in 2021.

The passenger carrier also received $16.4 billion in grant funding in 2023 for 25 rail projects in the Northeast Corridor from Boston to Washington, which is the busiest in the country with 800,000 daily trips.

What are some of the challenges that Amtrak faces?

However, Transportation Secretary Sean Duffy says that Amtrak needs to address safety concerns at Washington’s Union Station, including crime and homelessness. He wants travelers to feel safe in the capital.

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What about Amtrak’s future?

The head of the Department of Government Efficiency, Elon Musk, recently suggested that Amtrak should be privatized. It has been a federally run operation since 1971.

So far there has been no word on who will replace Gardner.