Hunter Harrison, CEO of Canadian Pacific Railway (CP) - Date unknown Darren Calabrese.
24 June 2015
CP Lashes Out at Transport Minister Over Revelstoke Comments
Calgary Alberta - The head of CP is lashing out at Canadian Transport Minister Lisa Raitt, accusing her of threatening the company even
before completing an investigation into an allegation that a train was parked in the mountains above Revelstoke, B.C., without proper brakes being
applied.
"We are concerned about accusations and threats made in the media by the minister of transport during an ongoing investigation where the facts have not
yet been established," said Hunter Harrison, CEO of CP in a news release issued late Tuesday night.
CP Disappointed with Minister of Transport's Comments on Ongoing Transport Canada Investigation
23 Jun 2015
Calgary Alberta - Canadian Pacific (CP) is profoundly disappointed with the Minister of Transport's comments regarding an ongoing investigation into an alleged
breach in safety rules. Such comments undermine the reputations of hardworking employees who take pride in their commitment to the safe movement of goods
through communities across North America.
CP is cooperating fully with Transport Canada in this investigation and will continue to do so. No charges have been laid against CP nor have any allegations
been proven.
"We are concerned about accusations and threats made in the media by the Minister of Transport during an ongoing investigation where the facts have not
yet been established," said E. Hunter Harrison, Chief Executive Officer. "Furthermore, to suggest that there is any parallel between these
allegations and the tragedy of Lake Megantic is, at best, unfortunate."
CP has cultivated a strong safety culture among its employees, a commitment that has made CP the North American leader in train accident prevention for nine
straight years. In 2014, CP reported the best accident prevention rate ever achieved by a North American Class I railroad, something all Canadians can take
pride in.
CP has also been among the earliest and most vocal advocates for tougher tank-car standards and has considered the Minister an ally in lobbying for speedier
implementation and harmonization of standards between Canada and the U.S. CP is also working hard to employ inward-facing locomotive video recorders as a
proactive measure to prevent accidents. The government has allowed political sympathies to hobble this effort, but we encourage the Minister to join CP in
supporting this important safety initiative.
"Any insinuation that CP doesn't take safety seriously or would tolerate a culture that allows employees to cut corners or break rules is deeply
disturbing and inappropriate," Harrison said. "If we make a mistake, we take responsibility and take action to ensure it never happens
again."
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Furthermore, to suggest that there is any parallel between these allegations and the tragedy of Lake Megantic is, at best, unfortunate," Harrison is
quoted as saying in the statement.
Harrison was responding to Raitt's comments on Monday about a CBC News report that Transport Canada raided CP's headquarters last month.
According to search warrant documents, that allowed the raid, a CP train conductor alleges she was ordered by a manager to leave 57 rail cars, including
dangerous goods, parked on a heavy grade in the mountains uphill from Revelstoke without applying proper brakes.
Inspectors believe the company, and a manager, violated the Railway Safety Act and emergency measures issued after the deadly crude oil train derailment in
Lake Megantic.
"If it is the case that CP did not adhere to our emergency directive, they will be prosecuted to the fullest extent of the law," Raitt told CBC News
Network's Power & Politics on Monday. "And they should be very mindful of the fact that it is the president and the CEO that was charged in the case
of Montreal, Maine & Atlantic involved in the Lake Megantic disaster."
"We had 47 people perish in Lake Megantic. We had families and communities ripped apart," Raitt said.
"If management (at all railways) isn't getting it with all this, maybe they'll get it with charges."
"It's very sad to say... but I'd ask these companies to wake up. This is a very serious matter."
CP calls Raitt's comments "profoundly disappointing."
"Any insinuation that CP doesn't take safety seriously or would tolerate a culture that allows employees to cut corners or break rules is deeply
disturbing and inappropriate," CP's CEO is quoted as saying.
Harrison, through a spokesperson, declined a request for an interview by CBC News.
Battle with Ottawa
This isn't the first public feud Harrison has had with the federal government.
He is refusing to pay fines levied against CP for failing to meet mandatory quotas for shipping grain during the winter of 2014.
CP is formally appealing the fines.
Harrison, who used to head CN Rail before moving to CP, is a long-time critic of regulators.
He told a Calgary shareholders meeting last month that Ottawa should not interfere with his cost-cutting plans to move longer trains, with more weight, at
higher speeds.
"I would caution some of the legislators, policy-makers, to be careful of foolin' too much with the winning combination," he said.
CP's Internal Probe
CBC News has learned that following the raid on CP's headquarters, the company began an internal review of the Revelstoke incident and is interviewing
employees involved.
"Nobody's lost their jobs. None of the managers involved, and none of our members have lost their jobs," said Greg Edwards of the Teamsters Canada
Rail Conference, the union which represents CP's locomotive engineers and conductors.
"As far as I know, there has been no discipline," he said.
CP has not responded to a series of questions from CBC News about the internal probe and whether anyone has been sanctioned.
Dave Seglins.
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