CN shores up union agreements

MONTREAL — Canadian National Railway said it has completed negotiations with all of its Canadian unions, following ratification of a new contract by rail traffic controllers.

Retroactive to the first of the year, the railroad will give the 300 members of the Rail Canada Traffic Controllers union 2% annual wage increases and improvements in pension and health benefits.

Canadian National, which serves all of Canada and the U.S. Midwest, now has renewed labor agreements with seven unions through the end of 2000.

Last month, the railway said it would cut 3000 jobs — 14% of its workforce — to reduce costs amid declining freight shipments.