Rail workers in Canada vote to strike, threatening supply chains
Rail workers demanding more rest time moved closer to a strike that would disrupt supply chains from Halifax to Vancouver and down through the Midwest to the Gulf of Mexico.
A union representing more than 9 000 employees at Canadian National Railway and Canadian Pacific Kansas City said workers overwhelmingly voted in favor of job action to push the companies to include provisions to combat crew fatigue in their collective agreements.
The work stoppage would start as early as May 22 if no deal is reached. It would interrupt transport of products — including cars, coal, consumer goods, fertilizer, grains, minerals and petroleum — as well as commuter services, which are run by the affected conductors, locomotive engineers, yard workers and rail traffic controllers.
“The simultaneous work stoppage at both CN and CPKC would disrupt supply chains on a scale Canada has likely never experienced,” Paul Boucher, president of the Teamsters Canada Rail Conference, said at a news conference Wednesday in Ottawa.
Boucher said the union will go back to the bargaining table and “do everything in our power to reach a fair deal for our members.”
The two rail giants account for nearly 90% of the industry’s revenues and more than three-quarters of overall tonnage carried by the sector.
Both companies said they’re working to reach a deal to avoid a work stoppage and warned that a strike would have an impact beyond the Canadian border.
“It would disrupt essential supply chains throughout North America, and significantly constrain trade between Canada and the US and Mexico,” Canadian Pacific said in a statement Wednesday. Passenger rail services on its network in Montreal, Toronto and Vancouver will also be “unable to operate.”
Canadian National said it “maintains a cautious outlook regarding possibility of finalizing a deal before a labor disruption that would affect the Canadian supply chain, the North American economy and our employees.”
Both companies’ share prices continued to slide on Wednesday, with CN Rail down 0.7% on the day, while Canadian Pacific fell about 1.2% as of 1:35 p.m. in Ottawa.
Transport Minister Pablo Rodriguez said the Canadian government was concerned and urged the parties to negotiate in good faith. “The best deals are made around the table,” he told reporters.
There’s a lot on the line not only for Canada, but across the continent, added Labor Minister Seamus O’Regan.
“The ramifications of it are not lost on me. This is something I’ve been keeping my eye on for months and months and months,” he said.
“But right now, cool heads prevail. And you know, we’ve got good people there that are helping them reach that deal.”
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation