Canada has ordered the country’s two main railroads to end the work stoppage that began on Aug. 22 after labor negotiations deadlocked. The threat of disruption remains as Teamsters move against “forced arbitration.”
On Aug. 22, Canada’s Labor Minister Steven MacKinnon intervened to order a binding arbitration process between the Teamsters Canada Rail Conference (TCRC) and Canadian National Railway (CN) and Canadian Pacific Kansas City (CPKC). It was to be mediated by a third party.
“I have directed the Canada Industrial Relations Board to assist the parties in settling the outstanding terms of their collective agreements by imposing final, binding arbitration,” MacKinnon said during a press conference. “I have also directed the board to extend the term of the current collective agreements until new agreements have been signed, and for operations on both railways to resume forthwith.”
MacKinnon said it’s the government’s job to ensure “industrial peace.”
“We will be examining why we experienced repeated conflicts in the railway sector and the conditions that led to the parallel work stoppages we are seeing,” he added.
Work Stoppage Still in Play
Despite the order, the Teamsters are against the “forced arbitration” and served CN a notice that it intends to strike as off 10 a.m. ET on Aug. 26.
Meanwhile, CPKC reported that the TCRC representing the Train and Engine division and Rail Canada Traffic Controller division wish to “make submissions to challenge the constitutionality” of the minister’s order.
Work stoppages continue.
[Editor’s Note: This article was updated on Aug. 23 to include news about CN issuing a strike notice and to update the headline. This is a developing story and last updated at 5 p.m. ET on Aug. 23.]
If you, or your distribution and manufacturing partners, are discussing the potential impact of this disruption on your business, consider contacting editor@mdm.com to share your insights and help inform MDM’s coverage.
The post Canada Calls to End Rail Shutdown, Teamsters Push Back appeared first on Modern Distribution Management.