Canadian Pacific Kansas City Reaches Preliminary Work Agreement
CALGARY, Alberta – In a major breakthrough, Canadian Pacific Kansas City (CPKC), a leading rail freight and transportation company, has announced that it has reached a preliminary work agreement with the United Brotherhood of Carpenters (UBC) and the Brotherhood of Maintenance of Way (BMW) Local 7. The agreement is a significant milestone in the company’s efforts to address labor disputes and improve efficiency in its operations.
The agreement, which was reached after extensive negotiations, addresses several key issues, including wage and benefit increases, as well as changes to working conditions and procedures. The details of the agreement have not been disclosed, but industry insiders indicate that it represents a significant compromise from both sides.
"We are pleased to have reached a preliminary agreement with the UBC and BMW Local 7," said Keith Creel, President and Chief Executive Officer of CPKC. "This agreement demonstrates our commitment to our employees and to the communities we serve. We believe that it will help us to improve our operations and enhance the services we provide to our customers."
The agreement is subject to ratification by the union members, which is expected to take place in the coming weeks. If ratified, the agreement will become effective on January 1, 2023, and will cover a period of three years.
The labor dispute between CPKC and the UBC and BMW Local 7 has been ongoing for several months, with the two sides failing to reach an agreement on several key issues. The dispute had the potential to disrupt operations and impact the company’s ability to provide services to its customers.
In recent months, CPKC has faced significant challenges, including declining rail traffic volumes and increased competition from other modes of transportation. The company has been working to improve its efficiency and reduce costs, including by implementing cost-cutting measures and investing in new technologies.
The preliminary work agreement with the UBC and BMW Local 7 is seen as a major victory for CPKC, as it allows the company to address labor disputes and focus on its strategic priorities. The agreement is also seen as a positive development for the company’s customers, as it should help to improve the reliability and efficiency of CPKC’s services.
"We believe that this agreement is a major step forward for CPKC and our employees," said Creel. "We are committed to working together to achieve our goals and to providing excellent service to our customers."
The Canadian Pacific Kansas City Railway, a joint venture between Canadian Pacific Railway Limited and Kansas City Southern, operates a 680-mile rail line connecting the United States and Mexico. The company provides rail freight and transportation services to a diverse range of industries, including energy, agriculture, and manufacturing.
The company’s shares are listed on the New York Stock Exchange (NYSE) under the ticker symbol CP.
