Looming Labor Strikes and Record Import Volumes
August 22, 2024Canadian Rail Strike Update
August 23, 2024Canadian Railway Strike Takes Effect After Failed Contract Negotiations
As of today, August 22, the Canadian freight rails CN and CPKC have halted operations in the early hours of the morning. This strike has stemmed from the inability of the railway workers to negotiate contract terms with the Teamsters Canada Rail Conference (TCRC). This stoppage could cause billions of dollars of damage to the North American supply chain if there is not a resolution soon.
Railroad workers are demanding better pay and safer working conditions, with some workers being forced into shifts exceeding 10 hours, and days of travel on just a few hours’ notice. The TCRC accuses CN and CPKC of prioritizing profits over rail safety. With both sides at a standstill, it is uncertain when this stoppage will end.
Given the potential risks to the supply chain, the Canadian government is urging the railways and the union to reach an agreement as quickly as possible. However, the CN and CPKC are unwilling to allow a third-party to decide on what fair terms for workers are.
The impending disruptions will not only affect railway workers, but also companies and commuters, increasing the pressure on negotiations to reach an agreement.
We will keep our customers up to date as the situation continues to develop. Follow Western Overseas on socials to stay up to date on industry news: LinkedIn, X, and Facebook.