The agreement covers about 1,000 owner-operators under contract to CNTL in Canada, who form a key component of CN’s intermodal operations. The drivers, represented by the union Unifor, had rejected a previous CN proposal.
“The ratification of this contract allows CNTL to move forward with our driver-partners, ensuring we can provide seamless, uninterrupted, exceptional service to its many customers across Canada and beyond,” CN Senior Vice President Keith Reardon said in an October 2 statement.
The contract includes a series of rate increases for wait times that total C$4 (a Canadian dollar equals US$0.75) over the four years. Additionally, mileage rates increase by 2.5% immediately, followed by another 2.5% increase in 2020. Those rates will climb by 3% in each of the following three years.
“The new agreement contains significant improvements in all areas of the collective agreement,” Unifor Council 4000, which represents the drivers, said in an announcement to members.
The contract also extends drivers’ fuel subsidy through the life of the agreement. Unifor said the subsidy averages C$33,000 per member each year.
The four-year agreement is retroactive to September 16.