CN locks out workers at five locations

MONTREAL — In an effort to keep rail freight operations as stable as possible, CN announced it has locked out workers participating in rotating strikes.

According to Canadian Press, the move so far affects 280 workers at terminals in Vancouver, Kamloops, B.C., as well as Ontario cities of Brantford, Aldershot and Oakville.

“CN is a scheduled railroad, and we cannot run scheduled-precision freight operations without predictable manpower resources. Rotating withdrawals of employee services are very disruptive to the company. We must ensure the continuity of our operations,” said E. Hunter Harrison, CN president and CEO in a prepared statement.

One of the first media outlets to cover the renewed strike action just after midnight Wednesday, TodaysTrucking.com reported previously that CN holds the power to lock out the employees either locally or across the entire rail system.

A majority — nearly 80 percent — of the 2,800 CN conductors and switchyard workers represented by the United Transportation Union (UTU) overwhelmingly voted to reject a tentative agreement struck between their union and the railway.

The labor pact, reported in the media as a 3 percent wage hike and a $1,000 bonus, effectively put on hold a crippling two-week strike that began in late February.

The American-based UTU encouraged workers to support the deal, but called for rotating work stoppages immediately after members voted to defeat it early this morning.

CN says it’s continuing to serve customers with management personnel performing the duties of locked out UTU members.

The railway, which last week indicated it would not increase its last offer, said today it is prepared to resume negotiations with the UTU. No date for talks has been established, however.

The federal government tabled back-to-work legislation in the House of Commons on Feb. 24 just before the tentative deal was reached. Labour Minister Jean-Pierre Blackburn said tonight that the law is ready to be passed if necessary, but hopes the two sides can work out a resolution on their own.

“Canada’s new government encourages the parties to continue their negotiations and try to reach an acceptable collective agreement without disrupting the national economy,” he stated in a press release. “A negotiated settlement is always preferable to legislation.”

Liberal House Leader Ralph Goodale said the government must reconvene the House and proceed with back-to-work legislation as early as Friday.

“Railway service is vital for Canada’s industries, farmers and the nation’s economy as a whole,” he said. “Rail line disruptions and stoppages will cause significant losses and layoffs. The government must address the issue immediately.”

Meanwhile, leaders of several rail-reliant industries that were hurt by the first strike — including the chemical, auto, and forestry industries, as well as the Canadian Wheat Board — renewed their calls for a quick resolution today.

The Vancouver Port Authority warned that freight service disruptions will cost Canada C$75m a day.


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