HR and Labour
CN and Teamsters Reach Agreement
Gov't Steps In on CN Dispute
The Labour Minister expressed her concern that the talks over the weekend between CN and the TCRC had not produced an agreement that would have brought a quick end to the strike.
The strike began early Saturday and has prompted concern about economic disruption across the country. Federal mediators have been working with the employer and union for many months and spent the weekend in last-ditch efforts to find a formula that would allow for the resumption of full rail service, but to no avail.
“This is more than a private dispute between CN Rail and the Teamsters Canada Rail Conference. It has serious repercussions for the national economy at a time when Canada’s recovery from the global recession is still fragile,” concluded Minister Ambrose.
The Minister calls on all parties in Parliament to support quick passage of this legislation.
CN Receives Strike Notice
Company urges Teamsters to work toward settlement to avoid strike threatened for Saturday, Nov. 28
MONTREAL, Nov. 25, 2009 — CN (TSX: CNR)(NYSE: CNI) today received a 72-hour strike notice from the Teamsters Canada Rail Conference (TCRC) of its plan to strike the company at 0001 hours Nov. 28, 2009.
CN said the TCRC’s decision is unfortunate because a strike is in no one’s interest – not the locomotive engineers, CN’s other employees, its customers or the Canadian economy.
CN is urging the TCRC to resume negotiations immediately to reach a settlement. If that is not possible, CN believes the union should agree to submit issues in dispute to binding arbitration before the Nov. 28 strike deadline.
Such an approach is fully consistent with the TCRC’s agreement to binding arbitration to end its strike at VIA Rail Canada Inc. in July 2009. In that dispute, the TCRC asked for two per cent wage increases – the same as CN’s last offer to the union.
If the TCRC strikes CN, the company is committed to provide the best possible service to its customers in the circumstances.
On Nov. 23, 2009, CN notified the TCRC of its intention to implement only one work rule change to the collective agreements and increase wages by 1.5 per cent effective Nov. 28, 2009. CN decided to invoke these contractual changes to move the company forward after 14 months of bargaining with no resolution in sight. The TCRC’s last contract with CN expired on Dec. 31, 2008.
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