Friday, August 23, 2024

NOT A STRIKE A BOSSES LOCKOUT!

Liberals end railway lockout with binding arbitration

IT'S WHAT THE RAIL BOSSES COUNT ON

The Labour Minister is ordering the Canada Industrial Relations Board to extend the current collective agreements and order a return to work

Author of the article:Ryan Tumilty
Published Aug 22, 2024
Labour Minister Steven MacKinnon said Thursday that while they respect the bargaining process the negotiations between CPKC rail and CN rail and the Teamsters Rail Conference had reached an impasse.
Photo by Sean Kilpatrick /THE CANADIAN PRESS

OTTAWA – After a day of disruption, the Liberal government ended a massive rail strike by sending the parties to binding arbitration.

Labour Minister Steven MacKinnon said Thursday that while they respect the bargaining process the negotiations between CPKC rail and CN rail and the Teamsters Rail Conference had reached an impasse.

He said the country’s rail lines could not be stalled any longer.

“These collective bargaining negotiations belong to these parties, but their effects and the impacts of the current impasse are being borne by all Canadians,” he said at a late press conference.

“Millions of Canadians rely on our railways every day, workers, farmers, ranchers, commuters, small businesses, miners, chemists, scientists, the list goes on and the impacts, cannot be understated. They extend to every corner of this country,” he said.

MacKinnon is ordering the Canada Industrial Relations Board to extend the current collective agreements, order a return to work and send the remaining issues to binding arbitration.

The board is an independent agency, but MacKinnon said he is hopeful the agency will act quickly and get trains running again. He said he expected it would be a matter of days before things resumed.

His predecessor in the job issued a similar order to end a strike with WestJet mechanics, but the mechanics in that strike initially refused to turn to work and held out until they reached a deal with the airline.

MacKinnon said he is confident that won’t happen in this case.

He said the Liberals respect collective bargaining, but the two sides were simply too far apart.

“We gave negotiations every possible opportunity to succeed right up until midday today.”

The two rail giants locked out workers first thing Thursday morning, bringing the country’s freight rail network to a halt. The job action also stalled some commuter rail services in Toronto, Vancouver and Montreal.

The two companies moved an average of $1 billion in trade per day across Canada and into the United States. Business groups warned of severe financial hardships if the strike had continued, with grain farmers saying the strike would cost farmers $43 million per day.

The strike risked drinking water supplies for cities because chlorine moves by rail and it risked leading to back-ups at major ports. There were calls from the U.S. and Canadian chambers of commerce for an end to the strike and pressure from premiers across the country.

The move to use binding arbitration drew swift condemnation from NDP leader Jagmeet Singh. He argued it sent a message to employers that treating your workers poorly was a strategy worth pursuing

“The Liberals’ actions are cowardly, anti-worker and proof that they will always cave to corporate greed, and Canadians will always pay for it,” he said in a statement. “There will be no end to lockouts now. Every employer knows they can get exactly what they want from Justin Trudeau by refusing to negotiate with their workers in good faith.”


National Post


Ottawa has sent the rail dispute to arbitration — so what happens now?

Canada's 2 major freight railways came to a full stop when labour talks collapsed

Darren Major · CBC News · Posted: Aug 22, 2024 
Teamsters union workers picket outside a Canadian National Railway Co. yard after being locked out by their company in Vancouver, B.C. on August 22, 2024.
(Jesse Winter/Reuters)

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The federal government has referred the ongoing rail labour dispute to arbitration — but that might not guarantee a resumption of service.

Canadian National Railway Co. (CN) and Canadian Pacific Kansas City Ltd. (CPKC) locked out 9,300 engineers, conductors and yard workers Thursday morning after the parties failed to agree on a new contract.

Labour Minister Steve MacKinnon announced Thursday that he would use section 107 of the Canada Labour Code to refer the dispute to the Canada Industrial Relations Board (CIRB) for binding arbitration.

The railway companies and a number of other business advocacy organizations had been calling on MacKinnon to refer the case to arbitration before the lockout. He was rejecting those requests until today and was instead urging all parties to hammer it out at the negotiating table.

"We have an impasse here. We wanted to give these negotiations the absolute possibility of concluding successfully. We see little prospect of that," MacKinnon said Thursday.


WATCH | Labour minister says federal government is sending rail dispute to binding arbitration:

Labour minister says federal government is sending rail dispute to binding arbitration
Duration2:15
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.

"If you find a lawyer who can tell you that it's possible [for the minister to order the parties into arbitration], then I wish I had their advice 15 years ago. But as far as I'm concerned, you aren't able to do that."



Dude, where's my car — or combine? Rail lockout to impact auto, farm equipment consumers

On Thursday, 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.

"[The CIRB] are independent … they have a process that requires consultation with the parties. They will be doing that and rendering a decision, I hope very quickly."

When pressed for a timeline for resumption of rail operations, MacKinnon said it should happen "within days."

"Again, I want to be deferential to the process that will unfold," he said.

Both rail companies released statements Thursday saying they would restart operations following MacKinnon's announcement, but neither offered a timeline.

Triggering section 107 of the Labour Code doesn't prevent a union from striking. The Teamsters union representing the rail workers said picket lines will remain in place while it considers its next steps.

MacKinnon's predecessor, Seamus O'Regan, referred the labour dispute between WestJet and the Aircraft Mechanics Fraternal Association to the CIRB for arbitration in July. The board still allowed a strike to happen.

O'Regan also asked the board to go to binding arbitration last summer during the B.C. port strike. The parties ended up reaching a deal two days later.

A CN employee hammers a sign into place at the CN MacMillan Yard in Vaughan, near Toronto, on August 22, 2024. (Carlos Osorio/Reuters)

Thompson cautioned that going to arbitration too often could have an impact on future labour negotiations.

"Bargaining can atrophy if the parties are expecting arbitration to solve their problems," he said.

"The government has to take the long view. Every employer association in the country practically has demanded arbitration, but they just want to solve their problem now. Whereas if you're the federal government, you've got to worry about the next set of negotiations."

Beyond arbitration, the government also could reconvene Parliament to pass back-to-work legislation.



How Canada reached the brink of an unprecedented railway stoppage

The Liberals used back-to-work legislation in both 2021 and 2018. Raitt said it might be the only option in this circumstance, given the risk to the economy.

"I really see no choice for the federal government but to have back-to-work legislation and then a process to settle the collective agreement for the parties," she said.

But Thompson said the government would need to know it had a dance partner in the House of Commons willing to pass the legislation before recalling MPs back to Ottawa for a rare summer sitting.

"No government… is going to say 'We're ordering you guys back to Ottawa for legislation,' and then don't have it passed," he said


WATCH | NDP won't 'accept' any interference by feds in rail shutdown, says Singh:


NDP won’t ‘accept’ any interference by feds in rail shutdown, says Singh
Duration3:27
NDP Leader Jagmeet Singh says he doesn’t want to see any move by the Liberal government that ‘interferes with the fair negotiation of a contract.’ A shutdown of Canada’s two main railroads began early Thursday after labour talks fell apart.

The NDP has a confidence-and-supply agreement with the Liberals that sees its MPs support the minority government on confidence votes. The NDP has called on the government not to intervene in the dispute.

On Thursday, NDP Leader Jagmeet Singh accused the federal government of undermining workers.

"The Liberals' actions are cowardly, anti-worker and proof that they will always cave to corporate greed, and Canadians will always pay for it," he said in a statement.

"There will be no end to lockouts now. Every employer knows they can get exactly what they want from Justin Trudeau by refusing to negotiate with their workers in good faith. And that puts the safety of workers and communities at risk."

CBC News has reached out to the Conservatives and the Bloc Québécois for comment on the railway stoppage but has yet to receive a response.

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