A nationwide railway strike could begin as early as August 22, 2024.
The potential strike is the result of stalled negotiations between Canadian National Railway, Canadian Pacific Kansas City Railway, and the Teamsters Canada Rail Conference, which represents engineers, conductors, and yard workers at both companies.
Last week, the Canada Industrial Relations Board determined that a lockout or strike would not pose an immediate threat to public health and safety, allowing both sides to proceed with potential action.
The Business Council of Canada has warned government leaders about the severe economic impact of a rail strike. Goldy Hyder, President of the Business Council of Canada, wrote to federal ministers highlighting the critical role of railways in the economy.
“Roughly $380 billion worth of goods travel across our national railway system, with more than half of the country’s exports moved by rail each year,” Hyder said. “Critical imports and exports through major ports across the country will effectively freeze, and the impact on shippers and their operations will be profound and long-lasting.” Hyder also noted that real GDP per capita in Canada has declined in five of the past six quarters and is currently near 2017 levels.
Statistics Canada reports that in 2024, over 14 million barrels of crude oil have been shipped by rail, with an average of 94,000 barrels transported daily.