Canada imposes binding arbitration on rail strikers

Pile of soybeans. (Photo by alexander Ponomarev at Pixabay.)

Reversing a previously stated determination not to intervene in a protracted labor dispute between Canadian rail workers and the country’s two major rail networks, the Canada Industrial Relations Board issued a last-minute order imposing binding arbitration on the two parties. 

In addition, the CIRB ordered that no rail network stoppage—whether a lockout or strike–can occur during the arbitration process. 

As a result, work resumed Aug. 26 on the Canadian National and Canadian Pacific Kansas City networks, avoiding a threatened rail strike that would have affected U.S. as well as Canadian rail movements. The U.S. business press worried that the strike could have stranded billions of dollars in cargoes.

Canadian observers said agreement on the working conditions issues that divide the two sides remains elusive. Disagreements center on rules regarding fatigue and rest and the railroads’ desire to switch from a pay scheme based on miles traveled to one based on hours worked.

While railroad workers have returned to the job, Teamsters Canada Rail Conference president Paul Boucher said he “is extremely disappointed in the recent CIRB decisions” and added, “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.”

The TCRC represents more than 9,000 engineers, conductors and dispatchers.
Mike Steenhoek, executive director of the U.S. Soy Transportation Coalition, said, “[I]t is entirely appropriate for the Canadian federal government to intervene on behalf of the country and all those, like U.S. agriculture, who depend upon a predictable, reliable cross-border supply chain. We look forward to a return to normalcy as soon as possible.”

David Murray can be reached at [email protected].