Canadian Pacific Announces Ratification of New Collective Agreement With BLET in U.S. Midwest

Canadian Pacific (NYSE: CP) (TSX: CP) (“CP”) announced today the ratification of a new collective agreement with the Brotherhood of Locomotive Engineers and Trainmen representing hundreds of CP and Kansas City Southern (“KCS”) locomotive engineers and trainmen in U.S. Midwest locations, which will take effect upon the consummation of the proposed CP-KCS combination, which remains subject to receipt of regulatory approval by the U.S. Surface Transportation Board (“STB”).

The new collective agreement includes CP employees on the Dakota, Minnesota & Eastern (“DM&E”) South territory in Iowa, Illinois, Missouri and Minnesota, as well as KCS employees in Kansas and Missouri. This agreement, ratified by BLET members this month, provides higher pay and scheduled time off compared to national agreements on a majority of the other Class 1 railways.

The BLET agreement and an earlier collective agreement with SMART-TD representing KCS conductors in Kansas and Missouri, ratified last year, (which will also take effect following the STB approval of the CP-KCS combination), further demonstrates CP’s commitment to reaching new collective agreements that will enable a future CPKC to enhance service across the combined railroad’s vital north-south corridor, increase competition and allow for future growth.

“These hourly agreements improve pay and quality of life for our employees by providing more scheduled time off, something national agreements typically don’t, while creating the operational flexibility needed to deliver better service to our customers,” said Keith Creel, CP President and CEO. “These innovative agreements will create predictable schedules for conductors and engineers and empower us to attract and retain the most talented railroaders in the industry as we successfully serve our customers with, pending regulatory approval, a combined CPKC connecting Canada, the U.S. and Mexico.” 

CP’s proposed combination with KCS remains subject to regulatory approval by the STB. An STB decision is expected in first quarter of 2023.

About Canadian Pacific

Canadian Pacific (TSX: CP) (NYSE: CP) is a transcontinental railway in Canada and the United States with direct links to major ports on the west and east coasts. CP provides North American customers a competitive rail service with access to key markets in every corner of the globe. CP is growing with its customers, offering a suite of freight transportation services, logistics solutions and supply chain expertise. Visit www.cpr.ca to see the rail advantages of CP.

Source: Canadian Pacific Railway Limited