CN Issues Lockout Notice to Teamsters

Core Viewpoint - CN has announced its intention to lock out employees represented by the Teamsters Canada Rail Conference (TCRC) on August 22, 2024, if no agreement or binding arbitration is reached before that date [1][2]. Group 1: Labor Conflict and Negotiations - CN is proceeding with a phased shutdown of its network due to the ongoing labor conflict, which may lead to a complete lockout if unresolved [2][3]. - The company has made multiple offers to the TCRC since January 2024, including improved wages and working conditions, all of which have been rejected [4][5]. - In June, CN proposed binding arbitration to resolve the dispute, which the TCRC also declined [6]. Group 2: Current Employment Conditions - Conductors and locomotive engineers currently work approximately 160 days a year, combining various duty and rest period rules [7]. - In 2023, the average conductor earned about $121,000, while the average locomotive engineer earned approximately $150,000, excluding pension and medical benefits [7]. Group 3: Embargoes and Operational Impact - CN will issue embargoes to restrict the movement of goods in the event of a labor disruption, effective within 48 hours of issuance [8]. - During a work stoppage, no products will be transported by rail, with only limited train movements within yards permitted due to a lack of certified management train crews [9]. - If a settlement or arbitration agreement is reached, CN will lift embargoes and resume normal operations [10].