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Arbitration ruling orders CN to reinvest in Transcona
Dear Members,
Unifor has won a major arbitration ruling ordering CN to reinvest and reopen the Transcona Wheel Shop, compensate affected workers and return the bargaining unit work after it was outsourced to the United States- a serious violation of the collective agreement.
This ruling is an important win for Unifor members and protects good paying Union jobs in Canada, and particularly the community of Transcona. The Company’s decision to shutter the Shops and outsource all the work severely impacted 3 Unifor bargaining units; Local 100, Local 191, and Local 144.
“This decision is a major victory for our members and for Canadian rail jobs,” said Cory Will, Unifor Local 100 President. “This ruling makes clear that bargaining unit work cannot be stripped away without consequence. Reinvesting in Transcona and bringing this work back where it belongs is critical to protecting skilled jobs, supporting our community, and strengthening Canada’s rail sector.”
The case stems from CN’s unilateral decision to close the Wheel Shop, Traction Motor Shop and Air Brake Shop at Transcona in May 2020 during the pandemic and then contract out all the core railway work normally performed by our members. The arbitrator found CN failed to properly notify and consult with Unifor, , before deciding to out-source a significant portion of the Union’s bargaining unit work, robbing the Union of its right to guard its work. In his ruling the arbitrator understood that the Unions right to protect its work is substantive, not a mere technicality or curtesy, and went on to call the Company’s conduct a “brazen disregard of the Union’s rights.
In a supplementary ruling issued March 3, 2026, the arbitrator ordered CN to reopen and modernize the Transcona Wheel Shop and return the Wheel Shop work to levels that meet or surpass pre-shutdown levels and hire at least 20 new bargaining unit employees as part of the startup. Employees adversely affected by the Company’s decision to outsource - are also to be compensated.
The award does not require CN to reopen the Air Brake Shop but will see the return of Main Generator’s to the Traction Motor Shop. CN must also bring 85 per cent of heavy bad order locomotive work back in-house in Canada, with the majority of that work continuing to go to Transcona.
Unifor will now focus on ensuring CN fully implements this award. That means pressing the company to deliver its startup and operational plan within 30 days, follow through on modernization and hiring commitments, and restore bargaining unit work as ordered.
We will be watching closely to make sure CN follows through on its obligations and that this decision leads to real investment and lasting union jobs in Canada.
In solidarity,
Unifor Local 100