Labour Minister Steve Mackinnon has announced he is sending CP, CN and the Teamsters into binding arbitration.That could mean the Canadian rail lockout is over, less than 24 hours.Earlier, industry trade group Fertilizer Canada said a prolonged rail strike will wind up costing fertilizer producers up to $60 million per day in lost sales revenue and threatening the country’s food securityAnd Alberta politicians are called for immediate intervention by the Trudeau government.Canada’s largest fertilizer association called for binding arbitration to force 9,300 striking CN and CPKC rail workers back on the job. It follows a direct appeal from association president Karen Proud the day before to take whatever means necessary to avoid a work stoppage. It was to no avail, after both sides set up barricades and pickets at midnight this morning.“The time for action is now,” she said. “We can no longer patiently wait for a resolution. The federal government must protect Canada’s economy and food security by ordering binding arbitration.”.More than 75% of all the fertilizer produced and consumed in Canada moves by rail, including 90% of all exports to the US — the vast majority of it originating from the prairies. The railways move an average of 69,000 tonnes of fertilizer product per day, which is equivalent to four to five trains. The fertilizer industry was among he first to experience slowdowns starting August 12 when the movement of ammonia and other hazardous materials was curtailed. Fertilizer is also produced from sulphur, which is a major byproduct of natural gas production in Alberta.Proud noted supply-chain labour disruptions over the past seven years have cost the fertilizer industry nearly $1 billion in accumulated losses..“These stoppages are doing immense damage to our reputation as a reliable trading partner. Our customers, who rely on Canadian fertilizer products, are being forced to turn to our competitors in Russia, Belarus, and China,” she said. “We can’t afford for our railways to shut down, and we can’t afford a passive approach to our supply chains any longer. We need long-term solutions.”Fertilizer Canada joined the Mining Association of Canada and the Canadian Federation of Independent Business (CFIB) in calling on the federal government to “immediately” intervene to force both sides back to work.“Not only will the work stoppage negatively affect shipments of raw materials and goods essential for small business operations, but it will also lead to a decreased on-shelf availability of consumer products, including grocery and drugstore essentials and even baby formula,” CFIB said.Meanwhile, miners are the single largest industrial customer group using both Canadian railways. “The urgent need for Canadian minerals and metals presents a generational opportunity, and we are in a race with our competitors to meet global demand. A first-ever, simultaneous halt in Canadian Pacific Kansas City Railway Company (CPKC) and Canadian National Railway Company (CN) rail service could not come at a worse time,” said CEO Pierre Gratton.Alberta Premier Danielle Smith, Minister of Transportation and Economic Corridors Devin Dreeshen, Minister of Agriculture and Irrigation RJ Sigurdson and Minister of Jobs, Economy and Trade Matt Jones issued a joint statement.“We are extremely concerned about the labour disruption at our country’s two largest railways, CN and CPKC. This stoppage will have devastating impacts on Canada’s economy, Canadian families and communities across this country," the statement read.“Each day this disruption continues will have far-reaching and extremely costly impacts on our economy, hurting workers, businesses, farmers and families across the country. This disruption is already affecting the more than $1 billion in goods, including half of Canada's exports, that are normally shipped by rail everyday." “As harvest season begins and farmers look to get their product to market, the stoppage will affect not only those shipping agricultural products, it will hurt Canada’s standing as important partner in global food security. It will also further damage our international reputation as a reliable trading partner and place to do business."“A prolonged work stoppage will also back up and severely bottleneck other transportation modes such as ports, warehouses and long-haul trucking operations. Even after a rail work stoppage ends, it takes significant time for the other modes to clear the backlogs and resume normal operations. This means disruptions, delays and increased costs on goods for Canadians."“While we respect the collective bargaining process, the collateral damage to Canadians, our businesses and our country’s international reputation is too high to allow the simultaneous disruption of both of these railways to continue."“The federal government must urgently intervene with binding arbitration or reconvene Parliament to immediately pass back-to-work legislation.”The ongoing rail strike is creating significant concerns across Saskatchewan, particularly as the province enters harvest season. NDP leader Carla Beck emphasized the urgency of the situation, noting the widespread anxiety among producers. “We’re an export-based province in the middle of harvest. I’ve heard overwhelmingly the concerns of our producers, and people across Canada need to understand the impact this stoppage is having on Saskatchewan. I’m calling on the federal government to ensure that all parties stay at the table and to use every tool available to end this lockout, ensure rail workers and communities are safe, and reach a negotiated settlement for the sake of our province,” said Beck.Saskatchewan’s Minister of Agriculture David Marit echoed Beck’s concerns in a statement to the Western Standard. “This rail strike will have a detrimental impact on our entire economy affecting virtually every Saskatchewan and Canadian resident. While we understand and respect the right to fair labour practices and negotiations, we must also recognize the far-reaching consequences this work disruption will cause,” said Marit.“Back-to-work legislation was used to end rail strikes/lockouts in 2022, 2015, and 2012 and it is time for the federal government to step up and ensure this work stoppage does not continue. I urge all parties involved to work towards an immediate resolution whether through back-to-work legislation or a directive for binding arbitration.”Saskatchewan’s Minister of Highways Lori Carr also expressed deep concerns about the consequences of the rail disruption.“The impact of a rail disruption will be devastating for Saskatchewan producers and the entire Canadian economy. From producers not being able to export, to even higher prices for consumers because of hindered imports, the potential impact cannot be overstated. We continue to urge the federal government to use all possible avenues to end this labour dispute as soon as possible,” said Carr.
