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(The Canadian Press circulated the following story on January 26.)

CHICAGO — Locomotive engineers who work for Canadian National Railway Co.’s former Grand Trunk Western unit in the United States have ratified a new contract with Canada’s largest railway.

CN said yesterday the Brotherhood of Locomotive Engineers and Trainmen had voted to ratify a new labour agreement negotiated earlier.

In contrast with traditional mileage- and rule-based wage systems, the new contract provides hourly wages, job guarantees and more flexible work rules for 250 current union members on the Grand Trunk Western.

The contract is effective Feb. 9 and runs though to Aug. 31, 2005.

“Our innovative, hourly rated labour contracts for train and engine employees will make CN a more efficient, customer-focused railroad, while providing employees increased pay, job security and a better balance between work and home lives,” said Hunter Harrison, president and chief executive officer of CN.

So far, CN has signed hourly rated labour contracts in the United States covering 1,930 train people and engineers.

That’s about 85 per cent of the workers in that group of employees.