Calgary Alberta - Canadian Pacific (CP) and the United Steelworkers (USW) Local 1976 today announced that a five-year labour agreement covering approximately 600 administrative support and intermodal employees in Canada has been ratified.
The agreement ensures wage increases of 2 percent each year over the term of the contract and provides the opportunity for additional increases of 0.5 percent to 1 percent in the fourth and fifth years depending on gains in Revenue Ton Miles (RTMs).
The new agreement takes effect 1 Jan 2018.
"This five-year agreement, negotiated and ratified early, is a credit to the union leadership and its productive work at the bargaining table on behalf of its membership," said Keith Creel, CP's President and Chief Executive Officer.
"CP's support staff personnel and intermodal employees are integral to our company's best-in-class service and our future success. This innovative agreement is an example of the positive results that can be achieved when people work together in good faith."
CP has successfully negotiated long-term agreements with six of its seven Canadian unions, which include increased benefits and annual wage increases.
CP has reached out to its unions that have agreements expiring at the end of 2017 to negotiate and implement new contracts ahead of expiry.