Q1: What are CN’s obligations as a company under the Official Languages Act?
Q2: Does the Act have anything to say about language requirements for either CN’s board members or senior executives?
Q3: More generally, does the Minister have any say in the composition of CN’s board?
Q4: How is the Official Languages Act currently enforced for companies like CN?
Q5: Has the Official Languages Commissioner previously investigated CN for compliance with the Act? If so, what were the circumstances and conclusions?
Q6: How do Air Canada and CN compare in terms of the Official Languages Act?
Q7: How would C-13 change how companies like CN are affected by the Act?
Q8: How many director positions exist at CN?
Q9: How frequently do they open up (ie how long are appointments)?
Q10: Do we know what criteria CN looks for in selecting Board members?
Q11: What has our Minister said in public (either in the House or to media) regarding recent Air Canada story about their unilingual CEO?
Q12: How many CN employees are based out of Montreal?
Q13: How many complaints have been received against Air Canada under the Official Languages Act over the past five fiscal years?
Q14: How many total official languages complaints have been received by the Commissioner of Official Languages over the past five fiscal years?
QUESTIONS & ANSWERS
Q1: What are CN’s obligations as a company under the Official Languages Act?
A1: According to s. 15 of the CN Commercialization Act, which enabled CN to be privatized in 1995, the Official Languages Act (OLA) continues to apply to CN as if it continued to be a federal institution within the meaning of that Act.
Under the OLA, federal institutions must provide services in the official language of choice without delay, and the services must be of equal quality, regardless of the language of choice. This would apply equally for employees and customers. These official language obligations under the OLA would apply to CN’s Canadian railway operations, and not to its operations outside Canada (e.g., United States).
CN offers most of its website information in English, French, and Spanish, likely for both regulatory and business reasons; this includes public tariffs, information related to safety, and shipping requirements. Its customer service, information, and freight sales help lines are all offered in English and French.
CN only transports freight and does not offer passenger services.
Q2: Does the Act have anything to say about language requirements for either CN’s board members or senior executives?
A2: The OLA applies to federal institutions as well as certain organizations, such as CN, that retained language obligations after they were privatized. The OLA requires CN to ensure that its communications with and services to the public are provided in both official languages.
Q3: More generally, does the Minister have any say in the composition of CN’s board?
A3: CN is a private company. The Minister has no influence in the appointment of its board.
Q4: How is the Official Languages Act currently enforced for companies like CN?
A4: CN is a private business and is responsible for meeting its own official languages obligations. While Transport Canada does not have the authority, nor the expertise, to enforce the provisions of the Official Languages Act, it has played, and will continue to play, a liaison role between CN and government officials responsible for official languages as circumstances require.
The Commissioner of Official Languages is responsible for ensuring compliance with the spirit of the OLA within federal institutions, including the promotion of linguistic duality and the equality of both official languages in Canadian society. The Commissioner is empowered to hear complaints, conduct inquiries, and intervene in the courts. The Commissioner produces an annual report to Parliament on the official languages’ activities carried out by their office.
The Treasury Board further has responsibilities to monitor and audit compliance with applicable TB policies, directives and regulations.
Q5: Has the Official Languages Commissioner previously investigated CN for compliance with the Act? If so, what were the circumstances and conclusions?
A5: Over the past five years, the Office of the Commissioner of Official Languages has received five admissible complaints against CN (all of these were received in 2019-20 in relation to Part V of the OLA - the language of work). This does not include complaints that have been received recently, and for which the Commissioner is currently examining the admissibility.
Admissible complaints received against Canadian National Railway Company, by part of the Official Languages Act for the last 5 fiscal years
|
Part of the Official Languages Act |
2021-2022 |
2020-2021 |
2019-2020 |
2018-2019 |
2017-2018 |
Total |
|
PART IV: Communications with and services to the public |
|
|
|
|
|
|
|
PART V: Language of work |
|
|
5 |
|
|
5 |
|
PART VI: Participation of English-speaking and French-speaking Canadians |
|
|
|
|
|
|
|
PART VII: Advancement of English and French |
|
|
|
|
|
|
|
PART XI: General |
|
|
|
|
|
|
|
Total |
0 |
0 |
5 |
0 |
0 |
5 |
As you know, compliance and enforcement of the OLA falls under the auspices of the Commissioner of Official Languages. They would be in the best position to confirm CN’s adherence to the Act.
Q6: How do Air Canada and CN compare in terms of the Official Languages Act?
A6: When they were privatized, each company retained official language obligations and, as such, both organizations are required under the OLA to provide high-quality services in the official language of choice without delay.
Air Canada was privatized in 1988 and retained a number of official language obligations through the Air Canada Public Participation Act (ACPPA) The ACPPA compels the airline to provide communications and service to the public in both official languages (Part IV of the OLA); maintain a bilingual workplace (Part V of the OLA); and, ensure equal opportunities for employment and advancement, as well as a requirement that its workforce reflect the presence of both official language (Parts VI and VII of the OLA).
Similarly, when CN was privatized in 1995, the CN Commercialization Act specified that the OLA continues to apply to CN. Under the OLA, federal institutions must provide communications and services to members of the public in the official language of choice without delay, and the services must be of equal quality, regardless of the language chosen.
CN only transports freight and does not offer passenger services. In comparison, Air Canada primarily offers passenger services to the public.
Q7: How would C-13 change how companies like CN are affected by the Act?
A7: On March 1, 2022, the Minister of Official Languages and Minister responsible for the Atlantic Canada Opportunities Agency tabled Bill C-13 (An Act for the Substantive Equality of Canada’s Official Languages). Bill C-13 includes several provisions to modernize and strengthen the Official Languages Act and its related instruments, including by expanding the scope of the Commissioner of Official Languages’ powers by adding an administrative monetary penalty (AMP) regime on certain privatized entities and Crown corporations in the transportation sector serving the travelling public. These entities will be defined by regulation, but may include Air Canada, VIA Rail, Marine Atlantic Inc., and certain National Airport System airport authorities.
[ Redacted ]
Q8: How many director positions exist at CN?
A8: Under the Articles of Incorporation of CN, the board of directors for the company shall consist of a minimum of seven and a maximum of 21 directors. Following a review of CN’s governance practices in early 2021, and to align with best practices in corporate governance, the CN board adopted a resolution to the effect that 11 persons, including the Chief Executive Officer, are to be elected as directors.
Subsequent to the departure of Jean Charest on April 1, the board currently has 11 directors, six of whom are female. On April 26, CN issued a press release noting that its board has launched a search for a Francophone and Quebec-based director to be appointed in the coming months.
Q9: How frequently do they open up (i.e., how long are appointments)?
A9: Per CN’s 2022 management information circular and notice of annual meeting of shareholders (scheduled for May 20, 2022), CN will be electing 11 persons as directors for the current year. Each director will hold office until the next annual meeting of shareholders, or until such person’s successor is elected or appointed. The term of office of each of the present directors expires at the close of the May 20 annual general meeting.
All directors on the board of CN are subject to a maximum 14-year term limit and an age limit of 72.
Q10: Do we know what criteria CN looks for in selecting Board members?
A10: Per CN’s 2022 management information circular, CN annually reviews the criteria for the selection of nominees to be recommended to the Board and the credentials of nominees for election or re-election. CN considers their qualifications, the validity of their credentials, and for existing directors, an evaluation of their effectiveness, performance, and attendance. The Governance, Sustainability, and Safety Committee, together with the Board Chair, uses a competency matrix to determine the needs of the Board for the long term, and to identify new candidates to stand as nominees.
CN notes that expanding and completing the board’s overall expertise in certain areas and diversity metrics, including benefiting from a broad range of perspectives and experiences, is a priority. In early 2021, the CN board set a target that by the end of 2022, CN would achieve and thereafter maintain a board composition in which at least half of the independent directors are to come from diverse groups, including gender parity. Of the current 11 directors, six are women and two identify as visible minorities. Pursuant to the Canada Business Corporations Act, the majority of the board directors must be Canadian residents.
On April 26, CN issued a press release noting that its board has launched a search for a Francophone and Quebec-based director to be appointed in the coming months, following the resignation of former board director Jean Charest on April 1, 2022.
Q11: What has our Minister said in public (either in the House or to media) regarding recent Air Canada story about their unilingual CEO?
A11: On November 8, 2021, the Honourable Chrystia Freeland wrote a letter to Air Canada’s Chair of its board of directors to express the federal government's disappointment and reiterated the airline's commitment to official languages and proposed corrective measures, including that Air Canada’s CEO French-language skills be a determining factor in its annual performance evaluation. The press release accompanying the letter mentions that the letter was decided after discussions with the Minister of Official Languages and the Minister of Transport, the Deputy Prime Minister and Minister of Finance.
That said, it is important to reiterate that the Official Languages Act falls under the purview of Justice Canada (Part III), Treasury Board Secretariat (Parts IV, V, VI), and Canadian Heritage (Part VII). As such, while Transport Canada is committed to supporting initiatives that promote continued compliance with the OLA within the transportation sector, most of the media requests, following the controversy in November 2021, were directed to Canadian Heritage.
Q12: How many CN employees are based out of Montreal?
A12: As of May 6, 2022, there are 2,837 employees (management, unionized and subsidiaries) based out of the Montreal region, out of a total of 16,747 employees across Canada.
|
Active Canadian Employees as of May 6, 2022 |
|||||
|
Group |
Management |
Transp. Unionized |
Other Unionized |
Subsidiaries |
Total |
|
HQ Departments |
1,659 |
- |
322 |
1 |
1,982 |
|
Marketing |
453 |
- |
767 |
1,445 |
2,665 |
|
Operations |
1,252 |
5,316 |
5,532 |
- |
12,100 |
|
TOTAL |
3,364 |
5,316 |
6,621 |
1,446 |
16,747 |
|
Active Employees in Montreal Region as of May 6, 2022 |
|||||
|
Group |
Management |
Transp. Unionized |
Other Unionized |
Subsidiaries |
Total |
|
HQ Departments |
1,411 |
- |
135 |
- |
1,546 |
|
Marketing |
71 |
- |
175 |
95 |
341 |
|
Operations |
157 |
275 |
518 |
- |
950 |
|
TOTAL |
1,639 |
275 |
828 |
95 |
2,837 |
Q13: How many complaints have been received against Air Canada under the Official Languages Act over the past five fiscal years?
A13: According to the Office of the Commissioner of Official Languages, over the past five fiscal years, Air Canada has received a total of 3,148 complaints as follows:
Admissible complaints received against Air Canada, by part of the Official Languages Act for the last 5 fiscal years
|
Part of the Official Languages Act |
2021-2022 |
2020-2021 |
2019-2020 |
2018-2019 |
2017-2018 |
Total |
|
PART IV: Communications with and services to the public |
2680 |
16 |
119 |
108 |
54 |
2977 |
|
PART V: Language of work |
1 |
3 |
3 |
1 |
3 |
11 |
|
PART VII: Advancement of English and French |
159 |
1 |
|
|
|
160 |
|
Total |
2840 |
20 |
122 |
109 |
57 |
3148 |
The substantial spike in admissible complaints in 2021-22 are broadly attributed to public outcry in response to a November 2021 English-only speech at the Montreal Chamber of Commerce by Air Canada CEO Michael Rousseau.
Q14: How many total official languages complaints have been received by the Commissioner of Official Languages over the past five fiscal years?
A14: There have been 5,651* admissible complaints considered by the Commissioner of Official Languages, according to their annual reports, in the last five years. Please note that the annual report for the 2021-22 fiscal year has not yet been published, and these values have been omitted.
Admissible official languages complaints received by the Office of the Commissioner of Official Languages for the last 5 fiscal years
|
2021-2022 |
2020-2021 |
2019-2020 |
2018-2019 |
2017-2018 |
Total* |
|
|
Admissible Complaints Received (all parts/section of the Official Languages Act) |
N/A |
1,870 |
1,559 |
1,216 |
1,006 |
5,651* |
* This total does not include the 2,840 complaints against Air Canada received in FY2021-2022.