Excerpts from CBC article Darren Major · CBC News · Posted: Aug 22, 2024
Labour minister says federal government is sending rail dispute to binding arbitration
Minister of Labour Steven MacKinnon says he has directed the Canada Industrial Relations Board ‘to extend the term of the current collective agreements until new agreements have been signed and for operations on both railways to resume forthwith.’
Contract talks between the union and the two companies usually take place a year apart, but in 2022 — after the federal government introduced new rules — CN requested a year-long extension to its existing deal.
This first-ever simultaneous shutdown of both rail networks blocked the movement of roughly $1 billion in goods.
Mark Thompson, a former labour arbitrator and professor emeritus at the University of British Columbia, said the unprecedented nature of the stoppage pushed the government to act.
“No government of whatever persuasion is going to stand by and let a national [work stoppage] by both railroads go on for very long. The impact on the economy is simply too great,” he said.
Lisa Raitt, who served as labour minister in the government of former prime minister Stephen Harper, said referring the dispute to the CIRB won’t instantly end the work stoppage. She said the companies and the union first have to agree to binding arbitration.
“You can try to get the parties to agree to binding arbitration. Maybe you can write to the CIRB and ask them to impose binding arbitration… but there’s no way a minister can write a letter and say that everyone goes back to work and I’m sending you to binding arbitration,” she said.
MacKinnon stopped short of saying the work stoppage would be ending as a result of his actions.
“We’re confident that it will,” he said.
Both rail companies released statements Thursday saying they would restart operations following MacKinnon’s announcement, but neither offered a timeline.
