A shutdown of the entire Canadian rail freight network planned for the end of August has been averted after the government intervened to outlaw the action.
The Canada Industrial Relations Board (CIRB) has imposed ‘binding arbitration’ on the parties involved in an unprecedented work stoppage at the Canadian National Railway (CN) and Canadian Pacific Kansas City (CPKC). The strike had been called as the result of a dispute with the Teamsters Canada Rail Conference union concerning safety issues around the hours worked by staff.
The disagreement affected around 9,300 workers at the two railways, who either went on strike or who were locked out of premises from August 22. However, the action was forcibly ended on August 26, after the arbitration notice was served two days earlier.
Christina McCarte, Director, International, at Toronto-based AMJ Campbell, said on August 26 that Canada’s international ports – Halifax, Montreal, Vancouver – were handling a backlog of cargo for the rail network.
‘We expect ports and terminals will remain congested during this week and possibly next week,’ she said. ‘As rail slowly reopens, we expect new container bookings will be available. However, we will continue to route shipments via our warehouses until there is fluidity and to avoid supplemental port charges.’
Orbit International Moving’s President and CEO Adi Shaked said: ‘Delays can be expected as rail partners work towards their respective recovery plans in restoring fluidity in the supply chain. Please keep in mind that the situation continues to be very fluid, and details are subject to change.’
He added that export cargo had continued to be accepted at inland terminals; but that it may take time for these units to start moving as the rail network recovers.
‘Import units that had arrived at CPKC inland rail destinations before the work stoppage have been available for pickup as usual,’ he said, while ‘ocean terminals are working closely with rail partners towards a speedy return to normal operations and fluidity.’
Shaked said: ‘We encourage customers to arrange delivery of all available import cargo to assist in the recovery by minimising congestion at the ports and rail ramps.’ He added that the company was continuing to monitor the situation were not expecting further disruption.
