CORRECTED-UPDATE 1-Canada's CN Rail workers vote down second labor agreement
(Corrects final paragraph to clarify that rail safety, not CN Rail, is under heavy regulatory scrutiny)
* Workers vote 891 to 852 against, union says
* Second time workers vote against company-union agreement
* CN Rail seeks arbitration
By Solarina Ho and Susan Taylor
TORONTO, March 20 (Reuters) - Railway staff of Canadian National Railway Co (CN Rail) have narrowly voted against a strike-busting labor agreement tentatively agreed upon by the company and workers' union.
Canada's biggest railroad and the Teamsters Canada Rail Conference - Conductors, Trainpersons and Yardpersons (TCRC-CTY) regularly negotiate pay, hours and other provisions but a three-year proposal in October drew threats of a strike earlier this year.
The pair came to a new agreement last month after the Conservative government said it would use back-to-work legislation if necessary to keep the railway operating.
The union on Thursday said 64.2 percent of union workers voted 891 to 852 against the new agreement, in a letter to members that was seen by Reuters. Continued...