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Canadian rail uncertainty continues amid government action

The Canadian government has taken action to help end a rail shutdown, but an ag transportation expert says the situation is far from over.

Mike Steenhoek, executive director of the Soy Transportation Coalition, says Canadian National Railway workers returned to work on Friday. “It remains a very fluid situation,” he said. “The Canadian Labor Ministry issued a statement that they were, the words were, ‘imposing arbitration on the process.’”

Canadian Labor Minister Steve MacKinnon announced Thursday he was directing the Canada Industrial Relations Board to assist the parties in settling the outstanding terms of their collective agreements by imposing final binding arbitration. MacKinnon said he also directed the board to extend the term of the current collective agreements until new agreements have been signed, and for Canadian National Railway and Canadian Pacific Kansas City operations to resume.

Steenhoek tells Brownfield some workers have pushed back. “The Teamsters Canada Rail Conference, this is the union that represents the workers, they have already filed a suit challenging the constitutionality of them being obligated to submit to arbitration.”

He says the situation could impact agricultural rail efficiency in the U.S. “For the soybean industry, we’re obviously sensitive to those livestock operators in Canada that are some of our customers for things like soybean meal to feed their animals.”

Steenhoek says picket lines remained at Canadian Pacific Kansas City railways on Friday.

AUDIO: Soy Transportation Coalition executive director Mike Steenhoek 8-23-2024