CN, IC secure key pre-merger labor deal
MONTREAL (April 27) — Canadian National Railway and Illinois Central Corp. said they have resolved all outstanding labor issues related to the pending merger following a labor deal with the division of the Transportation Communications International Union that represents railway carmen.
The agreement means that CN and IC have contracts in place with workers in four unions representing 67% of its combined organized workforce. Merger implementation agreements have been reached previously with the Brotherhood of Maintenance of Way Employes, the International Brotherhood of Electrical Workers, and the Brotherhood of Railroad Signalmen.
The CN/IC merger won approval of the United States Surface Transportation Board (STB) in a unanimous vote March 25, 1999. The STB is scheduled to issue its written merger decision on May 25. That decision, reflecting the March 25 oral vote, is expected to become effective June 24, after which CN will be permitted to exercise control over IC operations and assets. A step-by-step integration of the two railroads is expected to start July 1.
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