CN Asks Federal Government to Order Binding Arbitration to Protect Canada's Economy

Core Viewpoint - CN is seeking intervention from the Minister of Labour due to stalled negotiations with the TCRC, which poses risks to the Canadian economy from prolonged uncertainty [1][2]. Group 1: Negotiation Status - Negotiations with the TCRC resumed, but no meaningful progress has been made, leading CN to lose faith in the process [2]. - CN has made four offers to the TCRC since the beginning of the year, focusing on wages, rest, and labor availability, all of which were rejected by the union [4][6]. - The latest offer included a proposal for third-party arbitration, which was also rejected by the TCRC [4][7]. Group 2: Potential Shutdown - Without immediate progress or binding arbitration, CN plans to initiate a phased shutdown of its network, starting with embargoes on hazardous goods, leading to a lockout on August 22nd [3]. - Embargoes will prevent the transportation of products within Canada during a work stoppage, with only limited train movements allowed [9][10]. Group 3: Economic Impact - Supply chains require predictability, and the potential for labor disruption creates safety risks and uncertainty for industries reliant on rail transport [5]. - Prolonged uncertainty from the labor conflict will negatively affect consumers and workers across various sectors in Canada [5]. Group 4: Current Employment and Compensation - In 2023, the average conductor earned approximately $121,000, while the average locomotive engineer earned about $150,000, excluding pension and medical benefits [8]. - Conductors and locomotive engineers currently work around 160 days a year, factoring in duty and rest period rules [8]. Group 5: Company Background - CN operates a nearly 20,000-mile rail network, transporting over 300 million tons of goods annually, contributing to sustainable trade and community prosperity since 1919 [12].