UPDATED: CN and CPKC to end lockout, while TCRC issues strike notice

CN Rail and Canadian Pacific Kansas City (CPKC) announced they will resume rail operations in Canada following a binding arbitration order from the federal government Thursday, meaning rail activity could resume in the coming days.

Meanwhile, today (Aug. 23), the Teamsters Canada Rail Conference (TCRC) issued a strike notice to CN, which could result in a stoppage of work for union worker members on Aug. 26.

Following the news of the end to the lockout, TCRC said that picket lines remain in place.

“By resorting to binding arbitration, the government has allowed CN and CPKC to sidestep a union determined to protect rail safety,” TCRC’s statement said. “Despite claiming to value and honour the collective bargaining process, the federal government quickly used its authority to suspend it, mere hours after an employer-imposed work stoppage. This action mirrors their earlier interference this year, where they used the CIRB [Canada Industrial Relations Board] to stifle bargaining for months.”

In its strike notice, TCRC said it does not believe any of the matters being discussed during negotiations are insurmountable, and that they remain available to resolve the issues and avoid any further work stoppages.

CN said that effective 6 p.m. EST on Aug. 22, it has ended its lock out and immediately initiated its recovery plan.

As CN awaits the formal order from CIRB, the company is making this decision to expedite the recovery of the economy.

CPKC also announced 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 CIRB to impose final binding arbitration and for railway operations to resume forthwith.

“The Canadian government has recognized the immense consequences of a railway work stoppage for the Canadian economy, North American supply chains and all Canadians,” said Keith Creel, CPKC president and CEO. “The government has acted to protect Canada’s national interest. We regret that the government had to intervene because we fundamentally believe in and respect collective bargaining; however, given the stakes for all involved, this situation required action.

“CPKC looks forward to welcoming all of our employees back to work to restore our railway to full strength and get back to serving our customers and moving Canada’s trade and commerce throughout North America.”

While CN said it is satisfied that this labour conflict has ended and that it can get back to its role of powering the economy, the company is disappointed that a negotiated deal could not be achieved at the bargaining table despite its best efforts.