The order extends the current agreement until a new one is signed
By Diego Flammini
Staff Writer
Farms.com
Freight trains will start moving across Canada’s nearly 50,000kms of tracks as the Canada Industrial Relations Board (CIRB) ordered binding arbitration on CN, CPKC and the Teamsters Canada Rail Conference (TCRC).
Under binding arbitration, arbitrators are brought in to decide the contents of a new contract.
While this occurs, the current agreement between the rail companies and the union is extended. And no strikes or lockouts can happen during the process.
Labour Minister Steven MacKinnon used his authority under section 107 of federal labour law to refer this dispute to the CIRB.
The TCRC and rail companies view the binding arbitration ruling differently.
The union, for example, feels it undermines the work unions do to protect their members.
The TCRC represents more than 9,000 workers between the two railway companies involved in the labour dispute.
“This decision by the CIRB sets a dangerous precedent. It signals to Corporate Canada that large companies need only stop their operations for a few hours, inflict short-term economic pain, and the federal government will step in to break a union,” Paul Boucher, president of the TCRC, said in an Aug. 24 statement. “The rights of Canadian workers have been significantly diminished today.”
The railways support the decision as it resumes the movement of goods.
“CPKC looks forward to welcoming all of our Canadian locomotive engineers, conductors, yardpersons and dispatchers back to work,” CPKC said in an Aug. 24 release. “We are focused on restoring our railway to full strength as we get back to serving our customers and moving Canada’s trade and commerce throughout North America.”
CN indicated it is “satisfied” the order ends supply chain unpredictability.
The Canadian ag sector is also relieved this labour situation is under control.
It has been caught in eight work stoppages over the last six years.
About 94 per cent of Canadian grain moves by rail to ports for export.
Reliable rail service is a crucial component of the success of Canadian ag.
“The reputation of Canada’s farmers and ranchers as a trusted food supplier, both domestically and internationally was at risk with this lockout,” said Keith Currie, Canadian Federation of Agriculture President, said in a statement. “The Minister’s decision to step in and force a resolution to the disruption was the right thing to do.”
“We urge cooperation amongst all groups so that our rail service resume at this critical time and we can continue to meet the needs of our customers at home and abroad,” SaskWheat said on X. “Saskatchewan farmers, along with the Canadian economy will continue to experience significant financial losses until rail service fully resumes.”
Provincial governments are pleased there’s some stability on the rails.
Prolonged strikes or lockouts on train tracks cost Canada about $341 million per day, Moody’s reports.
“Each day this disruption continued would have had devastating impacts on our economy, workers, businesses, families, farmers and our relationships with Canada’s valued trading partners,” a joint statement from Alberta Premier Danielle Smith, Agriculture Minister RJ Sigurdson and others said.