February 15, 1998

BULLETIN

The CCROU Negotiating Committee has reached a tentative agreement with CN Rail. The agreement was signed on February 13, 1998, after marathon bargaining sessions, which lasted through the night preceding signing. The precedent setting agreement was a first, in that the contract was reached within less than six weeks of expiration of the previous agreement. There are several areas of improvement, the most significant being improvements to the Pension Plan and the benefits to all members of the plan.

CN PENSION PLAN BENEFIT IMPROVEMENTS

The agreement provides significant improvements for both pensioners and active members of the plan. Indexing, survivor benefits, and an improved pension calculation provision formula are the major factors in the agreement.

WAGES & TERM OF AGREEMENT

The term of the contract is three years with a 2% wage increase in each of the three years, retroactive to January 1, 1998.

BENEFIT PLAN

The agreement includes minor improvements to the Weekly Indemnity Benefits, with equal increases to the Maternity/Paternity Leave payments. There are also Life Insurance increases in each of the contract years, with a further provision that allows employees to purchase additional coverage up to $100,000.00 at a very competitive rate.

WORK RULES

There have been several changes to the work rules, which are simply too lengthy to list herein, but will be available from the Local Chairperson/Local Chairmen of the respective CCROU Locals/Divisions.

The agreement was unanimously sanctioned and signed by the CCROU Bargaining Team, comprising of CCROU Chairperson, W.G. Scarrow (UTU Vice President) and CCROU Vice Chairperson, G. Hallé (BLE Vice President and Canadian Director), as well as the UTU and BLE CN General Committees of Adjustment.

Details of the agreement are presently being made accessible to the Local Chairpersons/Local Chairmen of each respective Local/Division of the UTU and BLE, thus providing availability at the next regular meeting.

We wish to thank all members for their support and patience throughout the negotiating process.

In Solidarity,

WGS/cam