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(The following story by Joan E. Solsman appeared on The Wall Street Journal website on October 4, 2010.)

Canadian National Railway Co. (CNI) said it reached a tentative labor deal with the union representing its train conductors, yardmen and traffic coordinators.

Earlier this week, a spokesman for the Teamster Canada Rail Conference said Canadian National had offered some room for compromise on crew scheduling, which was a key sticking point.

The tentative settlement with the union, which represents about 2,700 workers at Canadian National, eases the likelihood of a strike or lockout.

Canadian National shares in New York weren’t active after the announcement in after-hours trading. The stock closed at $64.14, up 0.2%, and has risen 18% so far this year.