Finance News

Here’s how the rail stoppage will — or won’t — affect you


Canada’s two main railways locked out more than 9,000 unionized workers overnight, halting freight traffic across the country.

The stoppage of both Canadian National Railway (CN) and Canadian Pacific Kansas City (CPKC) had an immediate impact on tens of thousands of commuters and will ripple through the economy.

But how will it affect you? Here are some of your questions answered about the stoppage.

What do workers want?

Negotiations had been ongoing for nine months over wages, benefits and scheduling issues.

The Teamsters union, which represents workers at both railways, says both CN and CPKC are pushing to weaken protections around rest periods and scheduling.

“You’re on call basically 24/7,” Christopher Monette, a spokesperson for Teamsters Canada, told Radio-Canada. “When you get the call, you have two hours to get to work, and you don’t know if you’ll be back that same day, the next day or in two days.”

CN said it has negotiated in good faith to address the demands.

“The company consistently proposed serious offers, with better pay, improved rest and more predictable schedules,” CN said.

CPKC, for its part, called for binding arbitration, saying the union has made “unrealistic demands.”

Why doesn’t the government step in?

Business groups and companies want the federal government to impose binding arbitration on the union and the companies. But so far, it has so far asked the railroads and the union to work together and reach an agreement.

Prime Minister Justin Trudeau suggested Thursday that his government will have an update soon on its plans to find “the right solution” to the historic railway shutdown that’s threatening to upend supply chains.

“We are not taking this lightly because Canadians across the country are worried about it,” he said.

Section 107 of the Canada Labour Code allows the government to refer a labour dispute to the Canada Industrial Relations Board (CIRB), the country’s labour tribunal, for binding arbitration.

WATCH | Trudeau on the rail stoppage:

Federal government is taking rail stoppage ‘seriously,’ says Trudeau

Freight traffic on Canada’s two major railways stopped early Thursday. Prime Minister Justin Trudeau says the federal government is not taking the situation ‘lightly, because Canadians across the country are worried.’


Isn’t rail an essential service?

Rail service is not considered “essential” under the Canada Labour Code. That means it’s not required to remain in operation during a labour dispute.

Ahead of the lockout, the CIRB was asked to determine if service should be maintained during a labour dispute.

The CIRB said a work stoppage would pose no “serious danger” to public health or safety, despite concerns around things like food security, fuel supply and water treatment.

That means, in the event of a work stoppage like Thursday’s lockout, employees of the two main railways are not forced to continue operations.


Should I be stocking up on groceries?

In short, no, but experts and business groups told CBC…



Read More: Here’s how the rail stoppage will — or won’t — affect you

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More