Message from the President – August 2024
After an unprecedented month, the safe and orderly service restart of Canada’s rail system is now well underway.
The economic and reputational damage to Canada as a trading nation is still being tallied.
And there will be time to do a proper policy and political post-mortem on how we avoid similar situations from happening again.
But what recent events have undeniably brought home for everyone is the important benefits to Canada that our railways deliver for all Canadians:
- Continuously Improving Safety Record: Safety is job one for all railroaders. Over the past 10 years, the freight rail sector’s accident rate improved by 18.9% and the dangerous goods accident rate improved by 33.6%. Those are not only testaments to members’ safety commitments and culture. They’re some of the returns on the more than $21 billion Canada’s railways have invested over that same time period.
- Increased Efficiency and Productivity: CN and CPKC are now industry leaders in management practices, technology adoption, and operational optimization. They are also world-leaders in delivering value for shippers; Canadian freight rates are among the lowest in the world.
- Enhanced Customer Service: CN and CPKC are responsive to market demands. This means better customer service for farmers, foresters, miners, automakers, chemical producers, oil and gas companies, and many, many more. Railways compete with other transportation providers, and work with shippers to compete on a global supply basis, leading to innovations in logistics and supply chain management.
- Environmental Leaders: There’s no beating trains when it comes to fuel-efficiency in moving goods and people over land. Canada’s railways move millions of passengers and 70 per cent of all intercity freight while producing just 1% of Canada’s GHG emissions. A single freight train can remove upwards of 300 trucks and each passenger train replaces dozens of cars from congested public highways, an appealing idea as some of us consider recent summer road trips.
- Infrastructure Investments: Canada’s railways are technology and engineering leaders. CN and CPKC invest as much as 20-25 cents of every dollar earned back into their networks for upgrades to tracks, facilities and technology. This ensures trains can run safely and reliably, and increases overall capacity.
- Economic Growth: The improved efficiency and expanded capacity of Canada’s Class 1 railways over recent years have contributed to broader economic benefits.
Today, Canada’s freight railways carry more than $380 billion worth of goods each year, including half of Canada’s exports. They support trade and growth. They get tens of millions of passengers where they need to go – safely, reliably, and environmentally soundly.
And none of this is possible without the more than 35,000 railroaders who power our railways forward, 24/7/365.
Bottom line: we need our railways healthy and strong.
Farmers (as you will read in this month’s newsletter) and foresters, miners and manufacturers are all counting on rail to get their goods to market.
Cities need train shipments so they can deliver clean water.
Families buying groceries, fueling their car, awaiting parcel deliveries to their doorstep need the trains to run. And so do individuals looking for rides to work, school, or a favourite leisure activity.
We all have an interest in making Canadian rail even stronger. And that is what we need to focus on moving forward.
Marc