Unifor has won a major arbitration ruling ordering CN to reinvest in the Transcona Wheel Shop in Winnipeg. (CNW GROUP / UNIFOR)
An arbitrator has ordered Canadian National Railway to reinvest in its Transcona Wheel Shop in Winnipeg and return certain rail maintenance work to in-house operations in Canada following a grievance filed by Unifor.
The ruling follows a dispute that began after CN closed the wheel shop, traction motor shop and air brake shop in May 2020 during the COVID-19 pandemic and contracted out work normally performed by unionized employees.
In an earlier decision, the arbitrator determined CN violated its collective agreement with Unifor by failing to properly notify the union and consult with it before moving ahead with the changes. The arbitrator also found the violations were serious and left the issue of remedies to a later ruling.
In a supplementary decision issued March 3, 2026, the arbitrator ordered CN to reinvest in and modernize the Transcona Wheel Shop and restore production levels to meet or exceed those prior to the shutdown. The ruling also requires the company to hire at least 20 new bargaining unit employees as part of the restart.
While the decision does not require CN to reopen the air brake or traction motor shops, it directs the company to bring 85 percent of heavy bad order locomotive work back in-house in Canada, with most of that work to be carried out in Transcona.
Unifor officials say they will monitor CN’s compliance with the ruling, which requires the company to submit a startup and operational plan within 30 days.
