Liberals move to force binding arbitration, return to work in railway labour dispute
Labour Minister Steven MacKinnon said Thursday the federal government has asked the Canada Industrial Relations Board to end the lockout at the country's two biggest rail companies, ordering a return to work and imposing binding arbitration.
Canadian National Railway Co. and Canadian Pacific Kansas City Ltd. locked out 9,300 engineers, conductors and yard workers after the parties did not agree on new contracts before deadline.
MacKinnon faced pressure from business groups, who have been warning of massive economic consequences and urging the government to step in. MacKinnon’s announcement was immediately criticized by the NDP leader, who blasted it as "cowardly" and "anti-worker."
Jagmeet Singh said in a statement the move was proof the Liberals "will always cave to corporate greed, and Canadians will always pay for it."
At a Thursday news conference, MacKinnon maintained his government is "committed totally to collective bargaining," but said the impacts of the work stoppage are being felt by all Canadians. "Millions of Canadians rely on our railways every day," he said. "Workers, farmers, ranchers, commuters, small businesses, miners, chemists, scientists … the impacts cannot be understated and they extend to every corner of this country."
It’s the government’s "responsibility to ensure industrial peace in this critically vital sector," MacKinnon said.
The minister said the government gave the negotiations "every possible opportunity to succeed."
The process that will now unfold at the board is independent from government and will “extend over the coming hours and couple of days,” MacKinnon said.
He said he’s confident the order will end the lockout.
READ: Rail companies, union to resume talks as lockout shuts down both major railways
Singh said earlier on Thursday that his party wouldn’t support any "interference" in the bargaining process. He said he was willing to stake his support for the government on the issue and put his party’s supply-and-confidence agreement with the Liberals on the line if the matter were to come to a confidence vote.
The NDP agreed in 2022 to support the minority Liberal government on confidence measures in exchange for movement on key priorities, including pharmacare and dental care.
The lockout comes at a time when all federal parties are courting the labour vote.
The Conservatives, who have been taking steps to strengthen relationships with unions, voted earlier this year in favour of legislation that bans replacement workers at federally regulated workplaces. Leader Pierre Poilievre has been clear he's looking for the support of unionized blue-collar workers.
The Conservatives didn’t respond requests for comment Thursday.
The Canadian Manufacturers and Exporters is applauding the federal government for sending the labour dispute to binding arbitration. The industry group said it has called on the Canada Industrial Relations Board to order the trains to move as soon as possible.
It added reduced rail service over the last week has inflicted supply chain problems and it will take days, if not weeks, for things to get back to normal.
Canadian Pacific Kansas City Ltd. said it's preparing to restart its operations. It added more detail about timing will come once it receives an order from the Canada Industrial Relations Board to impose binding arbitration.
CEO Keith Creel said the government has acted to protect Canada's national interest and the company regrets Ottawa had to intervene.
With additional files from Canadian Press
