CN Ends Lock Out and Initiates Recovery Plan
CN (TSX: CNR) (NYSE: CNI) has announced the end of its lock out and the immediate initiation of its recovery plan, effective 18:00 ET on August 22, 2024. This decision comes following an order by the Minister of Labour and aims to expedite economic recovery. CN is resuming train movements while awaiting the formal order from the Canada Industrial Relations Board (CIRB).
While CN expresses satisfaction that the labour conflict has concluded, allowing it to resume its role in powering the economy, the company also voiced disappointment that a negotiated deal could not be reached at the bargaining table despite its best efforts. The resolution of this dispute is expected to have significant implications for CN's operations and the broader Canadian economy.
CN (TSX: CNR) (NYSE: CNI) ha annunciato la fine del suo blocco e l'immediata attuazione del suo piano di recupero, a partire dalle 18:00 ET del 22 agosto 2024. Questa decisione arriva a seguito di un'ordinanza del Ministro del Lavoro e mira a velocizzare la ripresa economica. CN sta riprendendo i movimenti dei treni in attesa dell'ordinanza formale da parte del Canada Industrial Relations Board (CIRB).
Sebbene CN esprima soddisfazione per la conclusione del conflitto lavorativo, che le consente di riprendere il proprio ruolo nel sostenere l'economia, l'azienda ha anche manifestato delusione per il fatto che non è stato possibile raggiungere un accordo negoziato nonostante i suoi migliori sforzi. La risoluzione di questa controversia è prevista avere implicazioni significative per le operazioni di CN e per l'economia canadese più ampia.
CN (TSX: CNR) (NYSE: CNI) ha anunciado el fin de su bloqueo y la inmediata puesta en marcha de su plan de recuperación, efectivo a las 18:00 ET del 22 de agosto de 2024. Esta decisión se toma tras una orden del Ministro de Trabajo y tiene como objetivo acelerar la recuperación económica. CN está reanudando los movimientos de trenes mientras espera la orden formal de la Canada Industrial Relations Board (CIRB).
Aunque CN expresa satisfacción porque el conflicto laboral ha concluido, permitiéndole reanudar su papel en el impulso de la economía, la compañía también ha manifestado su decepción por no haber podido alcanzar un acuerdo negociado en la mesa de negociación a pesar de sus mejores esfuerzos. Se espera que la resolución de esta disputa tenga implicaciones significativas para las operaciones de CN y para la economía canadiense en general.
CN (TSX: CNR) (NYSE: CNI)가 2024년 8월 22일 오후 6시 ET를 기해 잠금 종료와 회복 계획의 즉각적인 시행을 발표했습니다. 이 결정은 노동부 장관의 명령 후 이루어졌으며, 경제 회복을 가속화하는 것을 목적으로 하고 있습니다. CN은 캐나다 산업 관계 위원회 (CIRB)의 공식 명령을 기다리는 동안 기차 운행을 재개하고 있습니다.
CN은 노동 분쟁이 종료되어 경제를 지원하는 역할을 다시 시작할 수 있게 되어 만족감을 표시했지만, 최선의 노력에도 불구하고 협상 테이블에서 합의에 도달할 수 없었던 것에 대해 실망감을 나타냈습니다. 이 분쟁의 해결은 CN의 운영과 더 넓은 캐나다 경제에 상당한 영향을 미칠 것으로 예상됩니다.
CN (TSX: CNR) (NYSE: CNI) a annoncé la fin de son lock-out et le lancement immédiat de son plan de reprise, effectif à 18h00 ET le 22 août 2024. Cette décision fait suite à une ordonnance du ministre du Travail et vise à accélérer la reprise économique. CN reprend les mouvements de train en attendant l'ordonnance formelle du Canada Industrial Relations Board (CIRB).
Bien que CN exprime sa satisfaction quant à la conclusion du conflit de travail, ce qui lui permet de reprendre son rôle dans le soutien à l'économie, l'entreprise a également exprimé sa déception de ne pas avoir pu parvenir à un accord négocié à la table des négociations malgré tous ses efforts. La résolution de ce différend devrait avoir des implications significatives pour les opérations de CN et pour l'économie canadienne dans son ensemble.
CN (TSX: CNR) (NYSE: CNI) hat das Ende seiner Lockout-Phase und den sofortigen Start seines Wiederherstellungsplans bekannt gegeben, der ab 18:00 ET am 22. August 2024 in Kraft tritt. Diese Entscheidung folgt auf eine Anordnung des Arbeitsministers und zielt darauf ab, die wirtschaftliche Erholung zu beschleunigen. CN nimmt die Fahrgastbewegungen wieder auf, während man auf die offizielle Anordnung des Canada Industrial Relations Board (CIRB) wartet.
Obwohl CN seine Zufriedenheit darüber ausdrückt, dass der Arbeitskonflikt beendet ist und es seine Rolle in der Wirtschaft wieder aufnehmen kann, äußert das Unternehmen auch Enttäuschung darüber, dass trotz aller Bemühungen kein ausgehandeltes Abkommen am Verhandlungstisch erreicht werden konnte. Die Lösung dieses Streits wird voraussichtlich erhebliche Auswirkungen auf CNs Betriebsablauf und die breitere kanadische Wirtschaft haben.
- Resumption of train movements and operations
- Implementation of recovery plan to restore economic activity
- End of labour conflict allowing CN to resume its economic role
- Failure to reach a negotiated deal at the bargaining table
- Potential operational challenges during the recovery phase
- Possible lingering labour tensions despite the end of the lock out
Insights
The end of CN's lock out marks a critical turning point for the company and the Canadian economy. This development, prompted by ministerial intervention, underscores the significant impact of labor disputes on essential services. The swift initiation of a recovery plan demonstrates CN's readiness to mitigate economic disruptions.
However, the resolution through government intervention rather than negotiation raises concerns about the long-term stability of labor relations at CN. The company's disappointment in failing to reach a negotiated deal suggests underlying issues that may resurface. Investors should monitor employee morale and productivity in the coming months, as these factors could affect operational efficiency and, consequently, financial performance.
The resumption of train movements is a positive development for CN and the broader supply chain. Swift implementation of the recovery plan is important to minimize the backlog and associated economic losses. Investors should closely watch CN's ability to quickly restore normal operations and regain customer confidence.
This event highlights the vulnerability of the transportation sector to labor disputes. It may prompt discussions about contingency planning and risk management strategies among investors and industry stakeholders. In the short term, CN may face increased costs related to expedited services to clear the backlog, potentially impacting the next quarter's financials. Long-term implications depend on CN's ability to address underlying labor issues and strengthen its operational resilience.
Following Order by Minister of Labour, CN Resumes Train Movements
MONTREAL, Aug. 22, 2024 (GLOBE NEWSWIRE) -- CN (TSX: CNR) (NYSE: CNI) announced today that effective 18:00 ET, it ended its lock out and immediately initiated its recovery plan.
As CN awaits the formal order from the Canada Industrial Relations Board (CIRB), the Company is making this decision to expedite the recovery of the economy.
While CN is satisfied that this labour conflict has ended and that it can get back to its role of powering the economy, the Company is disappointed that a negotiated deal could not be achieved at the bargaining table despite its best efforts.
CN Forward-Looking Statements
Certain statements by CN included in this news release constitute “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and under Canadian securities laws. By their nature, forward-looking statements involve risks, uncertainties and assumptions. CN cautions that its assumptions may not materialize and that current economic conditions render such assumptions, although reasonable at the time they were made, subject to greater uncertainty. Forward-looking statements may be identified by the use of terminology such as “believes,” “expects,” “anticipates,” “assumes,” “outlook,” “plans,” “targets,” or other similar words. Forward-looking statements reflect information as of the date on which they are made. CN assumes no obligation to update or revise forward-looking statements to reflect future events, changes in circumstances, or changes in beliefs, unless required by applicable securities laws. In the event CN does update any forward-looking statement, no inference should be made that CN will make additional updates with respect to that statement, related matters, or any other forward-looking statement.
About CN
CN powers the economy by safely transporting more than 300 million tons of natural resources, manufactured products, and finished goods throughout North America every year for its customers. With its nearly 20,000-mile rail network and related transportation services, CN connects Canada’s Eastern and Western coasts with the U.S. Midwest and the Gulf of Mexico, contributing to sustainable trade and the prosperity of the communities in which it operates since 1919.
Contacts:
| Media | Investment Community |
| Jonathan Abecassis | Stacy Alderson |
| Director, Public Affairs and | Assistant Vice-President |
| Media Relations | Investor Relations |
| (438) 455-3692 media@cn.ca | (514) 399-0052 investor.relations@cn.ca |
FAQ
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