Shipping and Logistics
Crisis Averted: Work Stoppage at Canadian Pacific Ends in Arbitration
Written by David Schollaert
March 22, 2022
The Canadian Pacific Railway Ltd. (CP) and the Teamsters Canada Rail Conference (TCRC) reached an agreement to enter binding arbitration and return to work today, averting a widespread rail shutdown that threatened to aggravate North America’s supply-chain woes.
With a structured shutdown in effect following a 72-hour lockout notice issued on March 17, CP trains were halted Sunday morning, stalling global shipments of key commodities and manufactured goods.
The two-day work stoppage of TCRC railway workers – including more than 3,000 engineers, conductors and other personnel – was lifted when the two sides agreed to binding arbitration.
“CP is pleased to have reached an agreement with the TCRC Negotiating Committee to enter into binding arbitration and end this work stoppage,” said Keith Creel, CP’s president and CEO. “This agreement enables us to return to work effective noon Tuesday local time to resume our essential services for our customers and the North American supply chain.”
Though both CP and TCRC have come to an agreement to accept Canadian Federal Conciliation and Mediation Services decisions as final, wages and pensions remain stumbling blocks, said union representatives.
“The decision to agree to final and binding arbitration is not taken lightly,” said Dave Fulton, TCRC spokesperson. “While arbitration is not the preferred method, we were able to negotiate terms and conditions that were in the best interest of our members.”
By David Schollaert, David@SteelMarketUpdate.com
David Schollaert
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