Canada Ends Railroads' Work Stoppage

In a significant escalation of a labor dispute, Canada’s two largest rail companies, CN Rail and CPKC, locked out union workers at 12:01 a.m. Thursday, halting freight rail operations across the country and impacting services to the United States. Labor Minister Seamus O'Regan expressed concern over the situation, stating that the negotiations between the companies and the Teamsters Canada Rail Conference (TCRC) have reached a fundamental impasse. He indicated that it is his responsibility to invoke measures under the Canada Labor Code to ensure industrial peace and address the national interest. The Canadian government is acutely aware of the potential economic fallout from the rail stoppage, with CPKC CEO Keith Creel emphasizing the severe implications for North American supply chains. However, the union has opposed government intervention, insisting that the resolution should come through direct negotiations. Teamsters Canada president François Laporte highlighted that despite months of negotiations, the union remains far from an agreement, attributing the stalemate to company demands rather than union positions. In a statement, CPKC justified the lockout, asserting that a negotiated settlement was "not within reach." The company proposed binding arbitration as a solution to resolve outstanding disputes. Meanwhile, industry groups have called for government action, but Prime Minister Justin Trudeau urged both parties to resolve their differences through negotiation, stressing the importance of reaching a resolution for the benefit of millions of Canadians reliant on rail services.