Canadian National Railway (CN) and Canadian Pacific Kansas City (CPKC) advised early Thursday morning that they had moved forward with their lockout notices and shut down services after negotiations with the Teamsters Canada Railway Conference (TCRC) union failed to reach an agreement. This is the first time that a work stoppage has occurred simultaneously at CN and CPKC, which are responsible for the bulk of Canada’s freight train operations.
The decision, confirmed by the TCRC union representing close to 10,000 workers at the companies, sets the stage for an unprecedented rail stoppage that could badly damage the Canadian economy and have a significant effect on both international and cross-border trade. These two rail lines haul an estimated one billion dollars in goods each day, according to the Railway Association of Canada.
Pressure is mounting for the federal government to intervene to keep these trains moving from business groups, provincial governments and shippers across Canada. Under Section 107 of the Canada Labour Code, the Minister of Labour can refer the dispute to the Canada Industrial Relations Board (CIRB) for binding arbitration and prohibit a strike, lockout or end any ongoing stoppage pending a resolution. Alternatively, the government can also reconvene Parliament and introduce back-to-work legislation.
For more information, please call David Lychek, Director – Ocean & Air Services at (905) 882-4880, ext. 1207.