CALGARY, July 5, 2016 /CNW/ - Canadian Pacific Railway Limited (TSX: CP) (NYSE: CP) today responded to incorrect, misleading and inflammatory claims by the Teamsters Canada Rail Conference – Maintenance of Way Employees Division (TCRC-MWED) leadership.
Counter to union leadership's statements that recently announced layoffs at CP were in violation of the law, CP has in fact been working closely with Transport Canada, meeting or exceeding all requirements, as well as all applicable requirements of the union's collective agreement.
CP must adjust staffing levels according to business ebbs and flows associated with global markets and operational efficiency gains. The layoffs affect 260 current Maintenance of Way positions and 240 vacant positions.
These layoffs will not impact CP's commitment to safety – the frequency of both visual inspections and ultrasonic rail flaw detection remains unchanged. CP will continue to meet or exceed all regulatory requirements for track inspection and maintenance as set out in the Track Safety Rules.
Since the staffing level changes pose no risk to employees, the public, property or the environment, CP concluded a risk assessment was not required. Transport Canada was notified and agreed with this conclusion.
It is irresponsible of union leadership to provide misstatements to the public that subvert the facts and undermine CP's commitment to rail safety in an effort to further the union leadership's own interests.
Note on forward-looking information
This news release contains certain forward-looking information within the meaning of applicable securities laws relating, but not limited, to our safe operations, legal and regulatory compliance, priorities and plans, programs and strategies. This forward-looking information also includes, but is not limited to, statements concerning expectations, beliefs, plans, goals, objectives, assumptions and statements about possible future events, conditions, and results of operations or performance. Forward-looking information may contain statements with words or headings such as "financial expectations", "key assumptions", "anticipate", "believe", "expect", "plan", "will", "outlook", "should" or similar words suggesting future outcomes.
Undue reliance should not be placed on forward-looking information as actual results may differ materially from the forward-looking information. Forward-looking information is not a guarantee of future performance. By its nature, CP's forward-looking information involves numerous assumptions, inherent risks and uncertainties that could cause actual results to differ materially from the forward-looking information, including but not limited to the following factors: changes to the key assumptions identified above; changes in business strategies; general North American and global economic, credit and business conditions; risks in agricultural production such as weather conditions and insect populations; the availability and price of energy commodities; the effects of competition and pricing pressures; industry capacity; shifts in market demand; changes in commodity prices; uncertainty surrounding timing and volumes of commodities being shipped via CP; inflation; changes in laws and regulations, including regulation of rates; changes in taxes and tax rates; potential increases in maintenance and operating costs; uncertainties of investigations, proceedings or other types of claims and litigation; labour disputes; risks and liabilities arising from derailments; transportation of dangerous goods; timing of completion of capital and maintenance projects; currency and interest rate fluctuations; effects of changes in market conditions and discount rates on the financial position of pension plans and investments; and various events that could disrupt operations, including severe weather, droughts, floods, avalanches and earthquakes as well as security threats and governmental response to them, and technological changes. The foregoing list of factors is not exhaustive.
These and other factors are detailed from time to time in reports filed by CP with securities regulators in Canada and the United States. Reference should be made to "Item 1A - Risk Factors" and "Item 7 - Management's Discussion and Analysis of Financial Condition and Results of Operations - Forward-Looking Information" in CP's annual and interim reports on Form 10-K and 10- Q. Readers are cautioned not to place undue reliance on forward-looking information. Forward-looking information is based on current expectations, estimates and projections and it is possible that predictions, forecasts, projections, and other forms of forward-looking information will not be achieved by CP. Except as required by law, CP undertakes no obligation to update publicly or otherwise revise any forward-looking information, whether as a result of new information, future events or otherwise.
About Canadian Pacific
Canadian Pacific (TSX:CP)(NYSE: CP) is a transcontinental railway in Canada and the United States with direct links to eight major ports, including Vancouver and Montreal, providing North American customers a competitive rail service with access to key markets in every corner of the globe. CP is growing with its customers, offering a suite of freight transportation services, logistics solutions and supply chain expertise. Visit cpr.ca to see the rail advantages of Canadian Pacific.
SOURCE Canadian Pacific
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