An arbitrator has ordered the Canadian National Railway Company (CN Rail) to reinvest in its Transcona Wheel Shop, compensate affected workers and return rail work to in-house production in Canada after finding the railway violated its collective agreement with Unifor.
The case arose from CN’s decision in May 2020, during the COVID-19 pandemic, to close the Wheel Shop, Traction Motor Shop and Air Brake Shop in Winnipeg, Manitoba, and contract out work normally performed by Unifor members, according to the union.
The arbitrator found CN violated the collective agreement by failing to properly notify Unifor, failing to consult the union before proceeding, and undermining the union’s ability to protect bargaining unit work. Those violations were deemed serious rather than technical, with the question of remedy left to a later award issued on March 3, 2026.
“This ruling is an important win for Unifor members and for the future of union rail work across the country,” said Unifor National President Lana Payne. “CN was found to have violated the collective agreement after work was pushed out of Transcona instead of being protected and maintained here in Canada. The ruling forces real reinvestment, restores core union work and sends a clear message that companies cannot erode Canadian industrial capacity without being held to account.”
Previously, a worker who was fired after just 19 hours of employment demanded over $490,000 in damages.
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