UPDATE: Canadian rail strike averted at last minute

A potential rail strike that could have threatened American cargoes and ag interests has been headed off at the last minute.

Canadian Labor Minister Steve MacKinnon reversed the government’s previous position against intervention and announced Aug. 22 that he is directing the Canada Industrial Relations Board to assist the Canadian Pacific Kansas City and the Canadian National Railway and the Teamsters Union, representing about 10,000 Canadian rail workers, in settling the negotiations including by “imposing final binding arbitration.”  The surprise intervention came after the government had earlier said it wanted the parties to resolve issues via negotiation.  

Both railways had already locked out union members at 12:01 a.m. after they failed to reach a deal on a contract. It was the end of a mandated colling-off period imposed by the CIRB. The rail workers’ last contract expired in December, and the two sides were far apart on working conditions and rest periods.”

The potential strike of a Canadian railroad union representing thousands of employees could have an indirect effect on American agricultural interests.

David Murray can be reached at [email protected].