Updates as of August 29, 2024
Train Movements in Canada Close to Normal, 'Complete Recovery to Take Several Weeks'
Train movements at Canadian National Railway Co. and Canadian Pacific Kansas City Ltd. are almost back to normal after a short lockout of unionized workers, according to RailState, a provider of real-time rail data.
Canadian National train movements were at 96% of pre-lockout levels as of Tuesday, while Canadian Pacific was at 95%, RailState said.
The data doesn’t necessarily indicate that the volumes of goods shipped are close to normal. Train movements are indications of trains in motion, including those with empty cars; the figures don’t provide information on the loads being transported. RailState based its average daily volume on train movements between August 1 and 21.
“Our recovery plan is underway,” CN Railway said in an emailed statement. “We expect complete recovery to take several weeks to catch up the impact that supply chains have been dealing with since April.” CPKC did not provide any details on operating levels.
Read more in an article from the American Journal of Transportation.
Updates as of August 26, 2024
CN and CPKC work to restore full operations
CN: The #Canada Industrial Relations Board (CIRB) has ordered CN and the Teamsters Canada Rail Conference (TCRC) into binding arbitration. The strike notice issued to CN is now void, ensuring no further labor disruptions during the arbitration process. CN is committed to resuming operations efficiently and safely, bringing much-needed stability to the supply chain.
Read more in a press release from CN.
CPKC: Will restart rail operations in #Canada by 00:01 ET on Monday, Aug. 26, following a CIRB order. The lockout initiated on Aug. 22 is now lifted, and CPKC is working diligently to get the Canadian economy moving again. While the CIRB's decision ends months of uncertainty, it may take several weeks for the railway network and supply chains to fully recover.
Read more in a press release from CPKC.
Updates as of August 23, 2024
Teamsters Serve CN with a Strike Notice
MONTREAL, Aug. 23, 2024 (GLOBE NEWSWIRE) -- CN (TSX: CNR) (NYSE: CNI) has been served with a 72-hour strike notice by the Teamsters #Canada Rail Conference (TCRC). The Teamsters intend to strike as of 10:00 AM ET on Monday, August 26, 2024.
Read more in an article from CN News.
Railways Prepare to Restart After Federal Government Forces Binding Arbitration in Labour Dispute
Canada's Labour Minister Steven MacKinnon is intervening to end a work stoppage that saw this country's two largest railways grind to a standstill Thursday, by forcing the parties into binding #arbitration.
MacKinnon said he is invoking powers under Section 107 of the Canada Labour Code to direct the Canada Industrial Relations Board (CIRB) to "assist the parties in settling the outstanding terms of their collective agreements by imposing final binding arbitration."
MacKinnon has also ordered the board to extend the term on the parties' current collective #agreements until new deals are signed, and is calling for operations on both railways to resume "forthwith."
Read more in an article from CTV News
Following Order by Minister of Labour, CN Resumes Train Movements
CN announced yesterday that, effective 18:00 ET, it ended its lockout and immediately initiated its #recovery plan.
As CN awaits the formal order from the Canada Industrial Relations Board (CIRB), the company made this decision in order to expedite recovery of the economy.
Read more in an update from CN.
CPKC Prepares to Restart Railway Operations, Awaits CIRB Order
Canadian Pacific Kansas City (CPKC) yesterday said it is preparing to restart railway operations in #Canada following the Canadian Minister of Labour’s announcement that he will exercise his authority under Section 107 of the Canada Labour Code to direct the Canada Industrial Relations Board (CIRB) to impose final binding arbitration and for railway operations to resume forthwith.
CPKC will follow the order of the CIRB once it executes the Minister’s direction. Its teams are already preparing for the safe and orderly resumption of its rail network and further details about timing will be provided once it receives the CIRB’s order.
Read more in a press release from CPKC.
CPKC said in a note to customers yesterday at 7:30 pm ET that the CIRB had already convened the parties for a case management conference that evening, consistent with the Minister’s stated expectation that the CIRB execute his direction expeditiously.
CPKC Disappointed by TCRC’s Decision to Dispute Minister’s Direction to Resume Railway Operations
In a case management conference convened by the Canada Industrial Relations Board (CIRB) at 9:00 pm ET last night, the Teamsters Canada Rail Conference (TCRC) representing the Train and Engine division and #Rail Canada Traffic Controller division refused to discuss resumption of service, said CPKC in a statement. The union said it will make submissions to challenge the constitutionality of the Minister’s direction, as well as the CIRB’s discretion to proceed with any order.
Another case management conference is scheduled for 10:00 am ET today to further hear submissions by the parties.
While the #Minister directed that the CIRB proceed expeditiously, any decision by the CIRB on the resumption of service will be delayed. CPKC remains prepared to resume service as soon as it is ordered to do so by the CIRB.
Read more in a press release from CPKC.
Updates as of August 22, 2024
CN Moves Forward with Lockout
CN has formally locked out employees represented by the Teamsters #Canada Rail Conference (TCRC) as of today at 00:01 ET, after the union did not respond to another offer by CN in a final attempt to avoid a labour disruption.
Without an agreement or binding arbitration, CN had no choice but to finalize a safe and orderly #shutdown and proceed with a lockout.
Read more in a press release from CN.
CPKC Locks Out TCRC Employees, Moves to Full Shutdown of Canadian Rail Network
Canadian Pacific Kansas City has locked out employees who are members of the Teamsters Canada Rail Conference (TCRC) – Train and Engine (T&E) division, effective 00:01 Eastern Time today.
That was followed by the #lockout of employees who are members of the TCRC – Rail Traffic Controller (RCTC) division effective 00:01 Mountain Time today.
Working closely with customers, CPKC has executed a safe and structured shutdown of its train operations across Canada. This will enable CPKC to safely and efficiently resume full rail operations across the entire network once the work stoppage ends.
Read more in a press release from CPKC.
CN–TCRC Update: Intermodal Inland Terminals Remain Operational
Reminder: CN's intermodal inland terminals will remain operational, and customers can pick up the imported containers that have arrived as usual.
As Canada Braces for Rail Stoppage, Truckers Scramble to Meet Demand
As Canada braced for a freight rail stoppage that could hit industries ranging from autos to agriculture, the trucking sector said it faced higher demand it could not meet.
Daman Grewal, a senior operations manager with British Columbia-based Centurion Trucking, would normally expect 20 or 30 online postings from shippers seeking trips east across Canada on an August Monday. On Monday morning, he saw more than 500.
"Last week is when a lot of the panic started to set in," said Grewal, noting trips for which he charged C$7,000 ($5,139) a few days ago now cost up to C$9,000. "Similar to COVID, you see the scarcity in supply chain."
Grewal said Centurion could increase capacity 10% to 20%, largely by reducing driver downtime.
"We would just have to turn the drivers around a little bit quicker," he said.
Industry officials said some softening in the economy has left room to increase capacity but not enough to make up for idled railways.
Read more in an article from Reuters.
Updates as of August 20, 2024
Port of Vancouver Operations Update Related to Potential Rail Disruptions
The Port of Vancouver expects disruption to its rail service starting at 12:01 am PST on Thursday, August 22, with CN Rail and Canadian Pacific Kansas City (CPKC) issuing 72-hour lockout notices and the Teamsters Canada Rail Conference union issuing 72-hour strike notice to CPKC.
The port's goal is to maintain port fluidity, ensure the safe movement of vessels and manage anchorage capacity for terminals partially affected or unaffected by strike/lockout activity.
To keep operations as fluid as possible, the port authority has:
requested that ship operators calling the Port of Vancouver take the necessary actions, such as slow steaming, to practice near-time arrival whenever possible; and
temporarily changed how it assigns anchorages to prioritize vessels calling on non-impacted or partially impacted terminals.
Read the full update.
Updates as of August 19, 2024
Labour Minister Rejects CN Rail's Call for Binding Arbitration as Lockout Looms
Labour Minister Steven MacKinnon has rejected CN Rail's request for binding arbitration in the company's labour dispute with Teamsters Canada Rail Conference (TCRC) – one week before a lockout could shut down the rail network.
"I would like to clarify that it is your shared responsibility – Canadian National Railway Company and the Teamsters Canada Rail Conference – to negotiate in good faith and work diligently towards a new collective agreement," MacKinnon wrote in a letter.
The minister added that federal mediators remain available to both parties as negotiations continue. CN Issues Lockout Notice to Teamsters
CN has issued notice to the Teamsters Canada Rail Conference (TCRC) formally advising them of its intention to lockout Canadian TCRC-represented employees on August 22 at 00:01 ET unless an agreement or binding arbitration is achieved before that time.
Despite negotiations over the weekend, no meaningful progress has occurred, and the parties remain very far apart.
Unless there is an immediate and definite resolution to the labour conflict, CN will continue the phased and progressive shutdown of its network, which would culminate in a lockout.
CN must continue with the progressive and planned shutdown of its network, as it remains under the threat of an unpredictable strike notice. This planned shutdown helps to ensure the safety of the communities in which it operates and the safety of its customers’ goods, and to optimize the network’s recovery following a labour disruption. CPKC–TCRC Collective Bargaining – August 16 Update
Bargaining between CPKC and the Teamsters Canada Rail Conference (TCRC) Train and Engine (T&E) and Rail Traffic Controller (RCTC) employees was scheduled to continue on Sunday, August 18.
While CPKC continues to move as much freight as possible prior to a potential work stoppage, it is taking steps for a safe and orderly shutdown of railway operations in Canada. In addition to embargos announced previously:
Effective today, August 19, the embargo will be expanded for all dangerous goods shipments.
Effective Tuesday, August 20, embargos for all shipments originating in Canada, all shipments originating in the United States destined to Canada, and all carload traffic destined to Canadian interchange.
CPKC is communicating directly with customers as additional embargoes and intermodal terminal restrictions for temperature-controlled containers and other intermodal containers are implemented, as necessary. It is committed to keeping stakeholders updated.
CPKC reiterates its standing offer to resolve this matter through binding arbitration should negotiations be unsuccessful. Teamsters Issue Strike Notice to CPKC
The Teamsters union has served 72-hours notice to CPKC to withdraw services, to be effective Thursday, August 22 at 0001 Eastern Time, "to protect the TCRC’s statutory and Charter protected rights to engage in a lawful strike," said the union in a statement. "We are continuing to bargain with the Company and will remain at the table as long as it takes."
Updates as of August 15, 2024
Potential Rail Strike and CN Embargo Impact
We want to keep you informed about a significant development that may affect your shipments in the upcoming weeks. The Canada Industrial Relations Board (CIRB) has ruled that none of the rail services are considered essential by law, which means a rail strike could occur as early as August 22, 2024, at 00:01 EST. The union is required to give a 72-hour notice before initiating a strike.
What to Expect:
In anticipation of this potential strike, CN has announced several embargoes to mitigate the impact:
Effective August 15: All temperature-controlled intermodal traffic will be embargoed across CN's network. Additionally, hazardous materials (Hazmat) traffic will also be embargoed.
Effective August 16 at 00:01 ET: CN will embargo all intermodal traffic destined for Canada from U.S. origins or U.S. interchange points.
How This Affects Your Shipments:
From Europe: We can explore rerouting your cargo to Montreal and then trucking it to Toronto as an alternative.
From Asia: Although this may be more costly, we recommend trans-loading containers and trucking palletized cargoes directly to Toronto.
CN is proactively addressing the situation to ensure the safe staging of commodities and to enable quick resumption of operations once the strike threat is resolved. They are committed to ongoing negotiations to avoid a prolonged disruption to supply chains.
Updates as of August 14, 2024
CPKC issues Lockout notice effective August 22; CN requests Labour Minister intervention
CPKC will issue a lockout notice to the Teamsters Canada Rail Conference (TCRC) effective August 22nd. Given the Canada Industrial Relations Board (CIRB) decision that no services need to be maintained during a rail strike to protect Canadians’ health & safety, CPKC plans to issue a lockout notice effective August 22nd while CN has formally requested for the Labour Minister’s intervention. Further, CIRB ordered a 13-day extension of the cooling-off period ending August 22. After the cooling period, management can issue a lockout notice or rail workers may conduct a legal strike.
Meanwhile, on the Vancouver Port situation, CIRB hearings still continue. As of the time of this writing, neither party has issued a 72-hour strike notice or a management lockout notice, nor has there been any labour disruptions.
Updates as of August 12, 2024
CN Asks Federal Government to Order Binding Arbitration to Protect Canada’s Economy
Following the Canada Industrial Relations Board’s (CIRB) decision that does not bring the labour conflict any closer to a resolution, CN is formally requesting the Minister of Labour’s intervention under section 107 of the Canada Labour Code to protect Canada’s economy from the impacts of prolonged uncertainty.
Negotiations with the TCRC resumed on Wednesday. However, no progress has been made, said the railway in a press release, "as the TCRC has not engaged meaningfully at the negotiating table."
While CN is willing to keep negotiating with the TCRC, "the company has lost faith in the process and is concerned that a negotiated deal is no longer possible without a willing partner."
Unless there is immediate and meaningful progress at the negotiating table or binding arbitration, CN will begin a phased and progressive shutdown of its network, starting with embargoes of hazardous goods, which would culminate in a lockout at 00:01 Eastern Time on August 22nd.
CPKC to Issue TCRC Lockout Notice for August 22
Canadian Pacific Kansas City on August 9 said it will issue notice to the Teamsters Canada Rail Conference (TCRC) – Train and Engine (T&E) division and TCRC – Rail Traffic Controller (RCTC) division of its plan to lock out employees at 00:01 ET on August 22 if union leadership and the company are unable to come to a negotiated settlement or agree to binding interest arbitration. CPKC is committed to continuing good faith negotiation throughout.
The decision to issue a lockout notice comes after the Canada Industrial Relations Board (CIRB) on Friday issued its decision, determining that no services need to be maintained during a railway strike or lockout in order to protect Canadian public health and safety. The CIRB also ordered a 13-day extension of the cooling off period, which ends on August 22. Following the expiration of the cooling off period, a legal strike or lockout involving the TCRC – T&E or TCRC – RCTC could occur.
CPKC Shutdown Preparation
In a Customer Station Bulletin on Friday, CPKC outlined its plan for a safe, structured shutdown of its Canadian train operations, if that is required.
An embargo application for toxic by inhalation (TIH) or poisonous by inhalation (PIH) shipments routing to and from CPKC Canadian locations is now in place to be effective at 00:01 Monday, August 12. This embargo applies to:
All TIH / PIH shipments originating in Canada that are billed to any Canadian, U.S. or Mexico destinations
All TIH / PIH shipments originating in the United States or Mexico that are billed to any Canadian destinations
The embargo can be rescinded at any time.
Any shipment that is impacted by the work stoppage will be secured in a safe location.
Updates as of August 7, 2024 CN Update: TCRC Negotiations
On Monday, August 5, CN met with the Minister of Labour, Steven MacKinnon and Minister of Transport, Pablo Rodriguez to discuss the impact of a work stoppage on Canadian supply chains. CN reiterated its desire to reach a negotiated outcome that is good for employees, for the company and for its customers, and reinforced that it has made many offers to the Teamsters Canada Rail Conference (TCRC) union since bargaining started at the end of November 2023.
Negotiations have been on hold since former Minister of Labour Seamus O’Regan requested clarity from the Canada Industrial Relations Board (CIRB) regarding essential services during a work stoppage. The response from the CIRB is expected by August 9. No work stoppage can occur until either party files the required 72-hour notice after the CIRB issues its decision, subject to any extension of the cooling-off period that may be ordered by the CIRB.
CN believes that a negotiated outcome is best for all involved and is eager to get back to the bargaining table. The company appreciated the government's presence at Monday’s meeting and looks forward to resuming negotiations with the TCRC today, August 7.CN is firmly committed to reaching a negotiated agreement that avoids any work stoppage.
Updates as of August 2 , 2024
A Canadian Rail Strike Is Likely in Late August, CPKC CEO Keith Creel Says With labour negotiations at a standstill, a Canadian rail strike is likely to occur in late August, Canadian Pacific Kansas City CEO Keith Creel said Tuesday.
CPKC and the Teamsters Canada Rail Conference are still talking but remain far apart on a new contract, Creel said on the railway’s second quarter earnings call.
The Canadian Industrial Relations Board has said it will release a decision by August 9 on what commodities are vital to health and safety and must keep moving during a work stoppage.
Members of the TCRC, which represents engineers and conductors on CPKC and Canadian National, have voted to authorize a strike that could begin with 72 hours notice once the CIRB decision is issued. Updates as of July 29 , 2024
BCMEA Local 514 Bargaining Update
The BCMEA and ILWU Local 514 are set to resume the Canada Industrial Relations Board (CIRB) hearing from August 6 to 9. This hearing will address the union’s DP World (Canada) Inc. manning proposal, which the BCMEA alleges to be illegal, constituting the union bargaining in bad faith. Following a scheduled case management meeting with the CIRB that occurred on July 24, ILWU Local 514’s legal counsel notified the parties that the union would be conducting an industry-wide strike vote, inclusive of all its members, in the coming weeks. The union noted that it will take at least until August 9 to complete the vote. The union's legal counsel committed that no 72-hour strike notice would be served until the vote was completed, if at all.
ILWU Local 514’s decision to proceed with an industry-wide strike vote is predictable, according to the BCMEA, given the CIRB’s July 7 decision that deemed the union’s previous strike vote and related strike notice to DP World (Canada) Inc. illegal
Updates as of July 12 , 2024
TCRC Negotiations: Timing of CIRB decision The Canadian Industrial Relations Board (CIRB) has provided an update on the timing of their decision regarding the Minister of Labour’s referral about the question of essential services.
The CIRB has advised CN that they intend to make that decision by August 9, 2024, and that in the event that a decision is not made by August 9, they will provide another update.
We recognize that the prolonged negotiations are creating uncertainty, and we are working towards providing as much predictability as possible to our customers and partners.
No work stoppage can occur until either party files the required 72-hour notice after the CIRB issues its decision, subject to any extension of the cooling off period that may be ordered by the CIRB.
Since the beginning of the negotiations, our goal has always been and continues to be to negotiate in good faith with the TCRC to reach a mutually beneficial agreement that maintains safety and stability for our team, our customers, and North American supply chains.
Updates as of July 10 , 2024
TCRC Negotiations update We recognize that the prolonged negotiations with the Teamsters Canada Rail Conference (TCRC) are creating uncertainty around the timing of a resolution. At this time, we are still waiting for a decision from the Canadian Industrial Relations Board (CIRB) on the Minister of Labour’s referral about the question of essential services. We also understand that there are renewed questions about the negotiations process, following recent news that the TCRC has obtained a second strike mandate from its membership. This is a routine step in the bargaining process. Under the Canada Labour Code, unions require a strike mandate from their membership to be able to go on strike and those mandates are only valid for 60 days. The first vote expired on July 1st and the TCRC decided to take a second vote.
No work stoppage can occur until 72 hours after the CIRB issues its decision, considering the required advance notice from the initiating party.
In the meantime, CN remains committed to negotiating in good faith with the TCRC to reach a mutually beneficial agreement that maintains safety and stability for our customers, our employees, and North American supply chains.
Updates as of July 8, 2024
ILWU Local 514 Issues Strike Notice, CIRB Determines It Contravenes Canada Labour Code ILWU Ship & Dock Foremen Local 514 (ILWU Local 514) on Saturday provided formal 72-hour notice of intended strike action against DP World (Canada) Inc. to commence on July 8.
Later on Saturday, the BC Maritime Employers Association (BCMEA) requested urgent interim intervention by the Canada Industrial Relations Board (CIRB). Specifically, it asked the Board to declare proposals and strike action of ILWU Local 514 contrary to the Canada Labour Code.
CIRB met on Sunday to address this request. It determined that ILWU Local 514’s declaration of strike action against DP World (Canada) Inc. is in contravention of the Code. CIRB found that the union failed to bargain in good faith when it conducted a strike vote amongst employees of only one member employer of the BCMEA and issued a strike notice based on that strike vote. Accordingly, CIRB directed the union to rescind the strike notice of July 5 and advise members that it is rescinded.
Furthermore, CIRB found that the union’s Nanaimo dispatch proposal was illegal because it consists of a receding horizon in bargaining and amounts to a failure to bargain in good faith. Therefore, the Board directed the union to withdraw its proposal. Updates as of July 7, 2024
Strike update between ILWU and BCMEA Further to the advisory we issued yesterday, we would like to update you on developments that have occurred over the last day.
The BCMEA (British Columbia Maritime Association) has issued a press release advising the CIRB (Canada Industrial Relations Board) held a case management conference yesterday and has determined the ILWU Local 514 declaration of strike action against DP World (Canada) is in contravention of the Canada Labour Code and as such has directed the Union to rescind the strike notice of July 5th and advise its members accordingly.
As a result of the CIRB decision, the BCMEA has rescinded the industry-wide lock out notice.
Updates as of July 1, 2024
Canadian Rail Workers Keep Window Open for Strike
Represented workers from Canadian National and Canadian Pacific Kansas City Southern overwhelmingly voted in favour of going on strike unless they get a new labour deal, the union announced Saturday.
The result of the vote by more than 9,200 Canadian railroad workers does not mean a strike is imminent. It does, however, position members of the Teamsters Canada Rail Conference to conduct a work stoppage unless members receive a new contract to replace its previous deal that expired on December 31, 2023.
This is the second time the union has authorized a strike this year. Members previously approved a strike on May 1, which positioned the union to begin a work stoppage on May 22.
However, intervention by Seamus O’Regan, Canada’s Minister of Labour, closed that strike window, as he requested the Canada Industrial Relations Board to investigate whether a work stoppage would impact Canadians’ health and safety.
Updates as of June 28, 2024
CPKC–TCRC Collective Bargaining Update
CPKC issued the following update.
"We are still awaiting a decision from the Canada Industrial Relations Board (CIRB) regarding the Federal Minister of Labour’s referral on the maintenance of activities during a strike or lockout.
We know our supply chain stakeholders want certainty regarding the expected timing of a CIRB decision and potential work stoppage; however, it remains unclear when the CIRB will issue a decision. Based on precedent, it is unlikely the parties will be in a position to initiate a legal strike or lockout before mid-July or later. In any event, a legal strike or lockout cannot occur unless a minimum of 72 hours’ notice is provided under the Canada Labour Code.
CPKC has requested that the CIRB extend the cooling-off period for 30 days after the date on which the CIRB issues its decision. This would help provide stability and predictability regarding the timelines for a potential work stoppage and allow all stakeholders to plan for such an eventuality.
CPKC’s offer to resolve the current labour dispute with the TCRC through binding interest arbitration in order to avoid a damaging and entirely unnecessary work stoppage remains on the table, as do CPKC’s two collective agreement proposals."
Updates as of June 20, 2024
Union Voting on Whether to Extend Strike Threat by CN, CPKC Rail Workers
The union representing more than 9,000 CN and CPKC workers has organized a second strike vote amid stalled contract negotiations with the railroads.
“It is clear we cannot rely on a timely conclusion to these unfortunate circumstances and must protect our rights regardless of outcome,” the Teamsters Canada Rail Conference (TCRC) said in a news release. On May 1, CN and CPKC rail workers voted to authorize a strike that could have begun on May 22.
Canadian Labour Minister Seamus O’Regan referred the rail worker dispute to the Canada Industrial Relations Board (CIRB) on May 13, indefinitely pausing any possible work stoppage until the CIRB issues a decision on the potential impacts a strike could have on the country’s safety.
TCRC’s second strike vote began Friday and will end on June 29, as the current strike mandate is set to expire on June 30. Canadian labour laws prohibit unions from declaring a strike unless its members have approved walking off the job in the previous 60 days.
Updates as of June 19, 2024
Rail Strike in Canada Likely as 'Essential Services' Hurdle Seems to Have Tumbled
Final submissions to the Canada Industrial Relations Board (CIRB) reveal neither rail companies nor the union believe “essential services” will be disrupted by a strike, which could pave the way for action.
On June 14, the CIRB took final submissions from CN, CPKC, the Teamsters Canada Rail Conference (TCRC) and other affected organizations, to make a final decision on whether a strike should be allowed to go ahead.
In their submission documents, both rail operators and the union conclude that rail services could not be deemed as essential.
Updates as of June 14, 2024
CPKC–TCRC Collective Bargaining
CPKC filed its reply submission to the Canada Industrial Relations Board (CIRB) on June 14 pursuant to the deadline established by the CIRB as it considers the Federal Minister of Labour’s referral regarding maintenance of activities during a potential railway strike or lockout.
While it remains unclear how long it will take for the CIRB to issue a decision, based on precedent, it is unlikely the parties will be in a position to initiate a legal strike or lockout before mid-July or later, according to CPKC. In any event, a legal strike or lockout cannot occur until at least 72 hours after the CIRB renders a decision.
The fact that supply chains have been through so much disruption in recent years and are now having to plan for a possible railway work stoppage that could come at an unknown time and on very short notice represents a major challenge for Canada’s supply chains. CPKC has requested the CIRB order that a strike or lockout cannot occur until 30 days after the date on which the CIRB issues its decision to allow stakeholders to plan for any potential work stoppage.
In response to the ministerial referral, the TCRC proposed that the bargaining timelines of CPKC and CN be staggered by two weeks to allow for further negotiation and potential staggered work stoppages. CPKC was prepared to consider such a proposal provided there was a mechanism to resolve any dispute if negotiations failed. According to CPKC, the TCRC refused and appears committed to strike action.
CPKC’s offer to resolve any labour dispute through binding interest arbitration in order to avoid a work stoppage remains on the table. CPKC’s previous offers to the TCRC also remain on the table.
Updates as of June 12, 2024
CN Seeks Binding Talks With Teamsters in Labour Dispute
Canadian National Railway amped up pressure on the Teamsters Canada Rail Conference to resolve their ongoing labour dispute.
CN said its June 6 offer to enter binding arbitration with the union was the result of the union rejecting all the railroad’s offers and exiting voluntary arbitration.
Read more in an article from Transport Topics
Updates as of June 10, 2024
ILWU Local 514 to Vote on BCMEA Offer
The ILWU Ship & Dock Foremen Local 514 (ILWU Local 514) and the BC Maritime Employers Association (BCMEA) continued collective bargaining last week in an effort to achieve a negotiated deal without a strike or lockout at Canada’s West Coast ports. ILWU Local 514 has agreed to conduct a full member vote on the terms of BCMEA’s revised comprehensive offer. The ILWU Local 514 membership vote will be completed and either accepted or rejected by the end of day Saturday, June 15, 2024. If accepted, the BCMEA will hold its ratification process on Monday, June 17, 2024, it said in a release.
“The BCMEA’s most recent offer to the ILWU Local 514 bargaining committee is a fair and balanced proposal that is beneficial for the 730 hardworking forepersons and for their families, while also ensuring West Coast ports remain reliable, competitive, and affordable for all Canadians. We will continue to provide updates as needed. Please don't hesitate to reach out to me directly with any questions,” said Rob MacKay-Dunn VP, Government & Public Affairs, BCMEA.
Updates as of June 6, 2024
Update on negotiations with the TCRC
Last week, CN and other parties met with the Canada Industrial Relations Board (CIRB) to discuss the Minister of Labour’s request for clarity on the continuation of activities during a work stoppage.
As part of this process, the parties had until May 31 to reply to submissions filed earlier on the issue. The CIRB has now extended this deadline to June 14 and has asked that specific themes identified in the submissions filed by stakeholders be addressed in the replies.
A work stoppage cannot occur until the CIRB issues its decision. While the CIRB does not have a set timeline, we believe a work stoppage is unlikely before the mid to late July timeframe. The CIRB’s request for clarity does not impact CN and the TCRC’s ability to continue bargaining, nor does it impact our service levels. Our trains continue to run to schedule, delivering your goods safely and efficiently.
Negotiations with the TCRC continued on June 4, with the support of federal conciliators. In an attempt to find a resolution that protects the North American economy and not impact its supply chains, CN made a formal offer to the TCRC to enter into binding arbitration. Binding arbitration would mean that the union and CN agree that a mutually agreed upon independent arbitrator will resolve the terms of the new collective agreement. The TCRC has declined CN’s proposal for binding arbitration.
As previously communicated, CN tabled a revised offer to the TCRC in May that focuses on reaching a mutually beneficial negotiated agreement with the TCRC that avoids a work stoppage and protects North America’s supply chains, while maintaining a safe work environment for our employees.
Updates as of May 30, 2024
CPKC TCRC Bargaining Update
This week, CPKC and the Teamsters Canada Rail Conference (TCRC) participated in a case management conference held by the Canada Industrial Relations Board (CIRB) to discuss the Minister of Labour’s referral regarding the maintenance of activities during a work stoppage.
The CIRB has extended the deadline for reply submissions from May 31 to June 14, and directed the parties to provide comments on certain identified themes raised in the submissions filed by various interested stakeholders and affected organizations.
While it remains unclear how long it will take for the CIRB to issue a decision following the extended comment-submission deadline, based on precedent, it is unlikely the parties will be in a position to initiate a legal strike or lockout before mid-July or later, according to CPKC.
CPKC continues to believe in the need to restore certainty and predictability for its employees, their families, its customers and North American supply chains. Its standing offer to the TCRC leadership is to resolve the labour dispute through binding arbitration so that a work stoppage detrimental to the interests of all stakeholders can be avoided.
Access all CPKC TCRC bargaining updates online here.
Updates as of May 29, 2024
Letter to Ministers of Labour and Transport re Potential CN, CPKC Labour Disruptions – More Than 100 Signatories, Including CIFFA
Updates as of May 24, 2024
Letter to Ministers of Labour and Transport re Potential CN, CPKC Labour Disruptions – More Than 100 Signatories, Including CIFFA
Forty-five Canadian associations and 60 chambers of commerce and boards of trade have signed a letter to Minister of Labour Seamus O’Regan Jr. and Minister of Transport Pablo Rodriguez to express "alarm over the potential for a labour disruption that would affect Class I railways."
The letter noted:
According to the Railway Association of Canada, our two freight railways transported a total of more than $380 billion worth of goods in 2022, and approximately half of the country’s exports. A strike interrupting service on both railways’ Canadian networks is estimated to impact the flow of more than $1 billion of goods every single day.
This is not the time to put further strain on a system that is under pressure and once again jeopardize Canada’s reputation as a stable place to do business; we need to ensure our supply chains are reliable and resilient.
A breakdown in operations would have severe impacts that span almost all industries across the country. We simply don’t have the capacity in other modes of transportation to replace the movement of goods by rail.
Updates as of May 23, 2024
CPKC-TCRC Bargaining Update
CPKC and the Teamsters Canada Rail Conference (TCRC) leadership met again between May 15 and 21, with the assistance of federal mediators in an effort to achieve renewed collective agreements for Train and Engine (T&E) and Rail Traffic Controller (RCTC) employees. Regrettably, no progress was made. Additional bargaining dates have not been scheduled at this time.
Although May 21 marked the expiration of the mandatory 21-day “cooling off” period under the Canada Labour Code, the Federal Minister of Labour’s referral to the Canada Industrial Relations Board (CIRB) regarding the maintenance of activities means that a legal strike or lockout cannot occur until the CIRB renders a decision. While it remains unclear how long it will take for the CIRB to issue a decision, based on precedent, it is unlikely the parties will be in a position to initiate a legal strike or lockout before mid-July or later.
Submissions from stakeholders were due on May 21. The CIRB has received a significant number of submissions that it will need to review and consider. A case management conference is now scheduled for early next week. The CIRB has given CPKC and the TCRC until May 31 to file replies.
Updates as of May 16, 2024
Update on CPKC-TCRC Collective Bargaining Negotiations
CPKC and the Teamsters Canada Rail Conference (TCRC) leadership will resume meeting on May 17, with the assistance of federal mediators in an effort to achieve new collective agreements for train and engine (T&E) and rail traffic controller (RCTC) employees.
On Wednesday, CPKC voluntarily offered to enter binding arbitration to avoid a work stoppage, however, the TCRC declined.
Updates as of May 16, 2024
Negotiations between CN and the TCRC are continuing this week with the support of federal conciliators
CN presented a revised offer to the TCRC that continues to focus on protecting the North American economy and its supply chains, while maintaining the safety of its employees. Visit www.cn.ca/TCRCinfo to learn more.
CN has been and remains working hard to reach a mutually beneficial negotiated agreement with the TCRC that avoids a work stoppage. As previously communicated, the Minister of Labour requested clarity from the Canadian Industrial Relations Board (CIRB) on whether or not any service is essential, and therefore must be maintained during a labour disruption. Specifically, CN has been requested to provide details regarding the movement of heavy fuel oil, propane, and food and water treatment materials needed in remote communities and throughout Canada. As a result of that request, there can be no strike or lockout before the CIRB issues a decision. It is highly unlikely that such determination could be made before May 22.
Updates as of May 15, 2024
Alberta Urges Feds to Head Off Port, Rail Strikes
Alberta has urged Prime Minister Justin Trudeau to do all he can to head off potentially devastating strikes by railway and port workers.
“Any work stoppage affecting our railways and ports would be crippling for our national economy and North American supply chains,” Alberta Premier Danielle Smith said in a letter to Trudeau that was released by her office.
Smith said Ottawa had to do all it could to help the parties in both disputes reach negotiated settlements.
“In the event of a work stoppage, your government must be prepared to use all the tools at its disposal to terminate it rapidly, including, if necessary, back-to-work legislation,” said Smith, one of Trudeau’s main domestic political opponents.
Updates as of May 14, 2024
CIRB has set May 31st as a deadline for initial submissions and rebuttals
On May 1, 2024, unionized rail workers in Canada represented by Teamsters Canada Rail Conference (TCRC) voted to authorize a strike as soon as May 22, 2024, unless a deal was reached before then.
The Canadian federal government has asked the Canada Industrial Relations Board (CIRB) to assess the potential impact of the strike on public health and safety. Until this assessment is completed by CIRB, a strike cannot be initiated.
The CIRB has set a May 31, 2024 deadline for the initial submissions and rebuttals from all parties. It remains unclear if, when, or how long the strike will take place.
Updates as of May 13, 2024
CPKC–TCRC Collective Bargaining Update
The Minister of Labour has referred a question to the Canada Industrial Relations Board (CIRB) to determine if, contrary to the agreement the minister states was reached by CPKC and the Teamsters Canada Rail Conference (TCRC), any rail activity must continue during a strike or lockout to protect the health and safety of Canadians.
This referral means a legal strike or lockout cannot occur until the CIRB renders its decision. The timing for the CIRB decision is unknown.
Pursuant to the Canada Labour Code, the parties are currently in a mandatory 21-day cooling off period, which would otherwise expire at 23:59 ET on May 21. CPKC and the TCRC leadership are scheduled to meet again this week to continue negotiations with the assistance of federal mediators.
Updates as of May 11, 2024:
"No strike or lockout will happen on May 22, 2024"
The Ministry of Labour has now involved the Canada Industrial Relations Board (CIRB) to determine if, contrary to the agreement reached by the railway and the unions, any rail activity must continue during a strike or lockout to protect the health and safety of Canadians. This involvement means a legal strike or lockout cannot occur until the CIRB renders its decision, which is unknown at this time. Therefore, no strike or lockout will happen on May 22, 2024 and it will be business as usual.
Updates as of May 8, 2024:
Minister of Labour Wants Deal "Done at the Table" to Avoid CN, CPKC Strikes
Canada's Minister of Labour, Seamus O'Regan, wants the unions and the railways to reach a deal through negotiation without resorting to a strike or lockout.
He said on May 3: "I am serious when I say that the best deals are made at the table. They have to be made at the table. They have to be made between those unions and those employers." However, he stressed, the parties need to get serious now. "Get a deal. "He added: "I am not one of these ones who considers drama part of the process... If you see the deal, get the deal. If you've got to work to get to the deal, then work to get to the deal... The less drama, the better. Get the deal done at the table."
Updates as of May 7, 2024:
Possible Strike Action at CN & CPKC Rail, Montreal Port, and Vancouver Port
As of May 5, negotiations to renew the collective agreements between CN (Canadian National Railway), CPKC (Canadian Pacific Kansas City Limited), and TCRC (Teamsters Canada Rail Conference) continue. Despite efforts to reach a resolution, the possibility of a strike looms as TCRC members have voted in favor of such action should an agreement not be reached. If the parties do not reach new collective agreements during the mediation period, a legal work stoppage could occur as early as Wednesday, May 22.
Maritime Employers Association (MEA) and the Canadian Union of Public Employees (CUPE 375), longshore workers at the Port of Montreal have been without a labor deal since their collective agreement expired on December 31, 2023. Therefore, union could issue a 72-hour strike notice at any point.
On the West Coast, negotiations between the BC Maritime Employers Association (BCMEA) and International Longshore and Warehouse Union Ship & Dock Foremen Local 514 (ILWU Local 514) have been ongoing. As it stands, the earliest either BCMEA or ILWU Local 514 may exercise either a lockout or right to strike is on May 10, 2024. The Parties are scheduled to continue mediated negotiations on May 8, 9 & 10 with the assistance of federal mediators.
Updates as of May 2, 2024:
CPKC Update: Negotiations with TCRC
With the assistance of federal conciliators, CPKC and the Teamsters Canada Rail Conference (TCRC) leadership are meeting again this week to continue negotiations to renew the collective agreements for both Train and Engine (T&E) and Rail Traffic Controller (RCTC) employees. The parties remain far apart.
A work stoppage will impact all Canadians. It will halt freight traffic on CPKC’s Canadian rail network. It will disrupt essential supply chains throughout North America, and significantly constrain trade between Canada and the U.S. and Mexico. Commuter services hosted on CPKC’s network in Montreal (Exo), Toronto (Metrolinx) and Vancouver (West Coast Express) will be unable to operate.
The TCRC leadership and CPKC are meeting this week and scheduled to meet again during the week of May 13.
Updates as of May 1, 2024:
As part of our commitment to proactive communication, we aim to keep you informed and prepared for any potential disruptions. The earliest date for a strike that has been mentioned is May 22nd, 2024.
In the event of a work stoppage, all rail lines across Canada will cease operations, resulting in a halt of all shipments via the railways. To mitigate potential delays and ensure the continuity of your supply chain, we advise taking proactive measures.
We recommend sending any freight shipments destined for Western or Eastern Canada before May 16th to get ahead of the delays. Please plan your shipping schedules, accordingly, aiming to have all freight delivered to us between May 2nd and May 16th. It's important to note that as we approach the potential strike date, there may be service disruptions and delays.
By: CIFFA, CPKCR, CN, TCRC, Reuters, Shipco
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