Food & Climate
Failure of negotiations between Canada’s two main railway companies Canadian National Railway (CNR.TO), and Canadian Pacific Kansas City (CP.TO), and the Teamsters union, regarding the duration of workers’ awake hours during work has potentially disastrous effects on crop yields and food security, because of halting fertilizer shipments.
CN Railway and Canadian Pacific Kansas City (CPKC) issued embargoes immediately halting certain fertilizer shipments ten days ahead of an anticipated labour disruption.
And Canada’s labour minister will meet with the country’s two main railway companies and the Teamsters union in Montreal today and Calgary tomorrow to try to avert a crippling rail transport stoppage.
But Unless labour agreements are reached, both Canadian National Railway and Canadian Pacific Kansas City will shut all freight rail services in Canada at the same time early on Thursday for the first time in history.
So, Fertilizer Canada has been calling on the federal government and Labour Minister Steven MacKinnon to take immediate action to assist all parties, according a report seen by “Food & Climate” platform.
Fertilizer shipments
“The threat of a work stoppage has already begun to impact the movement of fertilizer and the industry anticipates further embargoes and slowdowns in rail service.
A work stoppage that prevents the transportation of fertilizer will have potentially disastrous effects on crop yields and food security, according to “The load star”.
And Peter Freidmann, executive director of the Agriculture Transportation Coalition, said congestion was already “rearing its disruptive and costly head”.
Canadian Meat Council CEO Chris White, added: “Already, both major railways have halted shipments that need cooler temperatures, such as meat. A continued interruption in service will cause “unprecedented damage to Canada’s meat industry., with some processing plants anticipating losing up to $3 million per week, according to “CTV News”.
Contract talks between the Teamsters union and the companies usually take place a year apart, but in 2022, after the federal government introduced new rules on fatigue, CN requested a year-long extension to its existing deal rather than negotiate a new one.
This meant both companies’ labor agreements expired at the end of 2023 and talks have been ongoing since. As a result, for the first time, the failure of negotiations would halt the vast majority of the Canadian freight rail system.
The Teamsters represent around 10,000 members who work as locomotive engineers, conductors, train and yard workers and rail traffic controllers at the two companies in Canada, according to “Reuters”.
Stay awake longer
The union says CPKC wants “to gut the collective agreement of all safety-critical fatigue provisions”, meaning crews will be forced to stay awake longer, boosting the risk of accidents.
CPKC says its offer maintains the status quo for all work rules, “fully complies with new regulatory requirements for rest and does not in any way compromise safety.”
The Teamsters say CN wants to implement a forced relocation provision, which would see workers ordered to move across Canada for months at a time to fill labor shortages.
CN says it has made four offers this year on wages, rest, and labor availability while remaining fully compliant with government-mandated rules overseeing duty and rest periods.