HomeInternational NewsCanadian Railway Strike Threatens Economy as Union Announces Walkout at CN

Canadian Railway Strike Threatens Economy as Union Announces Walkout at CN

The union representing workers at Canadian National Railway (CN) has announced an impending strike that could have serious implications for the Canadian economy. The Teamsters union stated on Friday that locomotive engineers, conductors, and other employees at the Montreal-based CN will go on strike starting Monday. This decision follows a lockout that involved over 9,000 unionized workers at the country’s two largest railway companies, which has created risks of economic losses amounting to hundreds of millions of dollars according to business organizations.

Labor Minister Steven MacKinnon has taken steps to resolve the extraordinary railway stoppage by requesting the Canada Industrial Relations Board (CIRB) to impose binding arbitration on both the union and the two railway companies, CN and Canadian Pacific Kansas City (CPK). Canada, the second-largest country in the world, relies on railways for the transportation of a wide range of goods and commodities. Both business and agricultural groups have been urging Ottawa to act quickly in this critical situation.

Francois Laporte, president of Teamsters Canada, expressed his dissatisfaction with MacKinnon’s decision. “The best way to reach a contract is at the negotiating table. We do not believe that a third party should dictate our working conditions,” he told reporters at a demonstration outside CPKC’s headquarters in Calgary.

Although the union has announced the strike, they remain open to negotiations with CN over the weekend, and they do not view the challenges as insurmountable. Disagreements between the union and the companies revolve around issues such as safety and work scheduling.

A spokesperson for CN stated that trains are set to run again, and the company’s plan to resume operations is underway. “We are focused on getting back to work,” said Jonathan Abecassis, while noting that Teamsters’ members are instead focused on the strike.

Meanwhile, the lockout at CPKC has not yet been officially lifted, despite Ottawa moving to end the stoppage. MacKinnon expects that CIRB will make a decision in the near future. The Teamsters have already indicated that they will challenge the minister’s reference to the constitutionality of the CIRB, which could lead to legal action. “We are very confident about the path we have chosen,” said MacKinnon. According to him, a solution will be found that keeps the stability of railway operations in focus.

With the uncertain situation facing the Canadian railway, many observers are concerned about what a strike could mean for the country’s economy.

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