(Reuters circulated the following on December 10, 2009.)
OTTAWA — Canadian National Railway Co (CNR.TO) and the locomotive engineers’ union said on Thursday they remain in talks with federal mediators and will negotiate beyond today’s self-imposed deadline if they continue to see hope for a deal.
Canada’s largest railway resumed labor talks with the Teamsters union on Dec. 3 after a brief strike, and the two sides set a one-week deadline to reach a deal on wages, benefits and contract length.
“We’re talking and we’re going to continue to talk as long as we can see an opportunity to resolve the issues,” CN director of communications Mark Hallman told Reuters.
Previously, the company and union had agreed to put outstanding issues to binding arbitration if no agreement was reached with the 1,700 engineers by Dec. 10.
Neither the company nor the union would say why the deadline was bypassed or whether there was a new deadline.
“Both parties are looking at the issues and hopefully we can come to something,” said Dan Shewchuk, president of the Teamsters Canada Rail Conference. “There’s nothing very earth shattering as yet.”
Engineers went on strike after CN unilaterally imposed a 1.5 percent wage increase and raised their monthly mileage cap to 4,300 miles (6,900 km) from 3,800 (6,100 km) after 14 months of negotiation failed to produce a new contract.
Under a settlement deal to end the strike, CN agreed to roll back the imposed monthly mileage cap and wage increase.
The engineers’ last contract expired Dec. 31 2008.
The dispute does not affect CN engineers in the United States, northern Alberta and northern Quebec.
Shares of CN rose 1.7 percent to close at C$58.96 on the Toronto Stock Exchange on Thursday.