CN, CPKC strike: Nutrien urges resolution as Canadian rail workers given permission to walk off the job

A federal labour court has ruled that rail workers are non-essential, opening the door for a strike within two weeks that could grind Canada’s supply chain to a halt.

The Canada Industrial Relations Board said in a pair of rulings Friday that a work stoppage does not pose a “serious threat” to public health or safety, despite concerns about food safety, fuel supply and water sanitation.

The decision means Teamster, which represents workers at both Canadian National Railway and Canadian Pacific Kansas City, could hold a vote on a May strike as early as Aug. 22, with workers potentially walking off the job as early as Aug. 22.

As a result, workers at the two major railway companies would no longer have to transport goods in the event of a work stoppage, including vital products such as chlorine for water and propane for healthcare centres.

In a statement to CTV News on Tuesday, Saskatchewan-based global potash giant Nutrien warned that a rail work stoppage “could have a negative impact on farmers and food security around the world.”

“As the world’s largest supplier of agricultural products and services, Nutrien relies on reliable rail connections and we are concerned that labor action could impact the ability to transport our products,” Nutrien said.

“We are taking proactive measures to mitigate the impact to our customers in the event of a short-term disruption and urge all parties to reach a timely resolution to this dispute.”

The country’s grain farmers have also been following the negotiations with increasing concern since May.

According to the Grain Growers of Canada, 94 percent of Canada’s grain is shipped by rail.

While the Federal Labor Court agreed that a work stoppage on the railway would clearly “cause inconvenience and economic hardship,” the board maintained in its unanimous decision that the strike would not pose an immediate and serious danger to the safety or health of the public — the threshold for being considered an essential worker.

The sticking points at the negotiating table are crew scheduling, fatigue management and safety, said Teamsters Canada spokesman Christopher Monette. The union has rejected binding arbitration with both companies.

Teamsters has been trying to negotiate a contract for railroad workers since November 2023.

Both sides claim the other side has made excessive demands, causing negotiations to stall for weeks.

According to Canadian Railways, Canada’s railways move $380 billion worth of goods annually, more than half of the country’s total exports.

Concerns about a strike by some 9,300 workers have already cost the two rail companies some revenue, after some customers diverted their freight following the strike mandate approved by union members on May 1.

-With Canadian press kits by Christopher Reynolds