Bad News

Discussion in 'The Real Thing- North America' started by Matthyro, Nov 27, 2002.

  1. Matthyro

    Matthyro Will always be re-membered

    CN anounced today there will be a huge layoff due to lost revenue in the transportation of grain.
    I hope all my CN friends here don't find their jobs in jeopardy.
  2. rockislandmike

    rockislandmike Active Member

    Not to make light of the situation, cause it is very serious if you're a CN employee, but "huge" ??? 1,100 out of a 24,000 workforce, that's less than 5%.

    You obviously haven't been employed in the technology field in the last few years.
  3. Matthyro

    Matthyro Will always be re-membered

    What you say is true Michael and there are many other industries that are hurting. The high tech like Nortel or the airlines and Boeing and the automotive industry but this was a railroad issue and as I do have friends working at CN I was concerned.
  4. babydot94513

    babydot94513 Member in training

    I do not follow CN action so I have no idea of what the final implications are, but I am wondering as to what happened to the grain commodity that they shipped that brought this about?

  5. rockislandmike

    rockislandmike Active Member

    I would assume that part of it is because of the multi-year drought we've been experiencing in the western provinces, and therefore production is down significantly.
  6. babydot94513

    babydot94513 Member in training

    Thanks, Michael for a logical answer.

    I read into the post that maybe CN had lost a contract and that maybe some trucking conglomerate took it over.

    I hate to see any rail traffic diminish to the betterment of the trucking industry. Not that I hate trucking, its just that I like freight trains more.
  7. rockislandmike

    rockislandmike Active Member

    There are a lot fewer grain elevators in our prairies than they used to be, they're now bigger and further apart. Farmers do have to truck their grain farther than when my father grew up. But I'm sure that was factored into the equation a long time ago, and I can't imagine how long distance trucking would be more economical for grain.
  8. farmer ron

    farmer ron Member

    Further to that, as I have relatives in the Manitoba farming areas, there is less and less of the Canadian grains being grown. They just can not sell it. They have switched to other comodities that places like China and Japan are looking for and are willing to pay top dollar for, things like the special peas that they want. Also the drought has had a big effect and do not forget the labour problems that we have here on the west coast docks. There was an article on this in the porvincial paper stating part of CN"s reasoning behind the layoff is the slump in grain shippments, and of course technology ( fewer crews required, longer trains, and engineerless units). Yes it is a sad day when anyone in any field looses a job. Ron..
  9. babydot94513

    babydot94513 Member in training

    You just have to wonder about this. It is somewhat the same story here in America from what I have heard. Grain is a very high demand commodity that is used worldwide and I find it hard to believe that there is such a significant drop in demand given that there are more mouths to feed.

    Call me paranoid but I suspect there is more to this than what we think we know.

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