-- Canadian Pacific Kansas City (CP.TO, NYSE: CP) reached new tentative collective bargaining agreements with the Sheet Metal, Air, Rail and Transportation Works, Transportation Division (SMART-TD) and the Brotherhood of Locomotive Engineers and Trainmen (BLET) consolidating 11 existing contracts across the company's U.S. network into two new long-term hourly agreements, the rail giant said over the weekend.
Each of the tentative agreements has a term from 2025 to 2034 and covers about 1,700 Train & Engine (T&E) service employees across 11 states, including Illinois, Iowa, Missouri, Kansas, Oklahoma, Arkansas, Texas, Mississippi, Alabama, Tennessee and Louisiana, it added.
"This is a significant milestone for our railroaders and our network," said Keith Creel, CPKC President and CEO. "These historic tentative agreements provide long term labor stability while enhancing flexibility and bringing meaningful improvements in pay and quality of life for our railroaders."
The SMART-TD agreement covers conductors, brakemen, and other train service employees, while the BLET agreement covers locomotive engineers and other T&E employees, "bringing railroaders previously covered under multiple agreements into a modern, streamlined labor framework aligned with CPKC's integrated North American network", CPKC's statement said.
The ratification of these two long-term hourly agreements, combined with the recently ratified Soo Line BLET agreement, would represent the conclusion of negotiations for approximately 81% of CPKC's U.S. T&E workforce. The Soo Line BLET agreement ratified in December 2025 is not scheduled to reopen again for collective bargaining until 2029, it added.
Shares in CP were up $0.64 or 0.5% to $118.72 in Canada last Friday. They were up 0.8% in the US that day, and were at last look up 2.7% to near 52 week highs in premarket today.