Trudeau Tells Railways, Union to Reach Deal to Avoid Strike
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Prime Minister Justin Trudeau is urging Canada’s two largest railways and unionized workers to reach a deal to avert a strike that businesses warn will cause significant harm to the Canadian and U.S. economies.
Canadian National Railway Co. and Canadian Pacific Kansas City plan to lock out more than 9,000 workers from the Teamsters Canada Rail Conference just after midnight. The union issued a strike notice to CPKC for the same time. Trudeau said Labor Minister Steven MacKinnon was meeting with the parties in Calgary on Aug. 21 after a Aug. 20 meeting in Montreal.
“My message has been straightforward: It is in the best interest of both sides to continue doing the hard work at the table to find a negotiated resolution,” Trudeau told reporters Aug. 21 in Buckingham, Quebec. “Millions of Canadians — workers, farmers, businesses — right across the country are counting on both sides to do the work and get to a resolution.”
RELATED: Canadian Economy at Risk as Rail, Port Strikes Approach
MacKinnon
MacKinnon declined a request from Canadian National to impose binding arbitration last week, but it remains an option as the hours tick down to the midnight deadline.
The strike would be the first in nearly six decades involving both railway companies, which account for 80% of the Canadian rail network. Business groups have said $736 million in goods are transported by rail each day in Canada. A rail stoppage would also thwart some commuters in Toronto, Montreal and Vancouver.
The dispute has already begun to impact the movement of products including wheat, chemicals and fertilizers throughout Canada and the U.S. The two rail operators started a phased shutdown of the network last week, and AP Moller-Maersk has said it’s no longer accepting shipments for Canada that need to travel by train. AP Moller-Maersk ranks No. 5 on the Transport Topics Top 50 list of the largest global freight carriers.
Railroad workers in Canada. The union is seeking stronger provisions around rest time, while the companies say their offers meet regulatory requirements and in no way endanger safety. (Canadian National via Glassdoor)
Multiple industry and business associations, including the U.S. Chamber of Commerce and its Canadian counterpart, have urged Trudeau’s government to step in to stop a “devastating” rail stoppage from happening. U.S. Transportation Secretary Pete Buttigieg has said his department is closely monitoring the negotiations, engaging with Canadian officials and tracking the flow of vital goods to U.S. consumers and businesses.
The union is seeking stronger provisions around rest time, while the companies say their offers meet regulatory requirements and in no way endanger safety.
Deputy Prime Minister Chrystia Freeland also urged the companies and union to swiftly resolve their dispute, telling reporters in Edmonton that she has “no patience with dilly dallying” given the “serious” consequences. Freeland, who’s also finance minister, declined to comment on what it would take for the federal government to intervene, adding that she thinks the best deals are reached at the bargaining table.
“I want them to roll up their sleeves to recognize Canadians need them to get this done, to reach a deal so we can keep on moving forward,” she said.
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