Canadian rail services shut down as CN, CPKC workers locked out

Freight trains across Canada are have come to grinding halt as thousands of workers at the country’s two main railway companies have been locked out.

Freight trains across Canada have come to a grinding halt and some commuter traffic is also suspended as thousands of workers at the country’s two main railway companies have been locked out despite efforts from the federal government to urge a deal to end their labour dispute.

Canadian National Railway (CN) and Canadian Pacific Kansas City (CPKC) said early Thursday that they had moved forward with their lockout notices and shut down services after negotiations with the Teamsters Canada Railway Conference (TCRC) union failed to reach an agreement.

CPKC said in a statement it “has bargained in good faith, but despite our best efforts, it is clear that a negotiated outcome with the TCRC is not within reach.”

“The TCRC leadership continues to make unrealistic demands that would fundamentally impair the railway’s ability to serve our customers with a reliable and cost-competitive transportation service,” CPKC said.

CN said in a separate statement that the union did not respond to another offer in a final attempt to avoid a labour disruption.

“Without an agreement or binding arbitration, CN had no choice but to finalize a safe and orderly shutdown and proceed with a lockout,” the rail operator said.

TCRC, which represents roughly 10,000 employees at CN and CPKC, said despite months of negotiations, all parties “remain far apart” and “the main obstacles to reaching an agreement remain the companies’ demands, not union proposals.”

This is the first time that a work stoppage has occurred simultaneously at CN and CPKC, which are responsible for the bulk of Canada’s freight train operations.