Monday, December 14, 2009

CN Rail, Union Seek Arbitration After Talks Fail

(Cargonews Asia)

Canadian National Railway and the union representing 1,700 locomotive engineers will submit unresolved wage and benefits issues to binding arbitration after talks failed to yield a deal, Reuters reported.

Canada’s largest railway resumed labour talks with the Teamsters union on December 3 after a brief strike. The company and union had agreed to put outstanding issues to binding arbitration if no agreement was reached.

CN said talks ended on Saturday without a settlement. “The federal minister of labour will now appoint an arbitrator, who will have 90 days following his or her appointment to report to the minister with a final decision on a new collective agreement,” the company said in a statement. “Nothing precludes CN or the (union) from agreeing to further negotiations once the arbitration process starts.”

The railway said no further strike action is permitted under the dispute resolution mechanism, nor can CN lock out the union.