Grain shippers are welcoming the news that a work stoppage at CP Rail has been avoided for now following a recommendation from federal officials and the parties to hold a ratification vote.
The Western Grain Elevator Association (WGEA) says a work stoppage this week on CP would have had a devastating impact on grain shippers, farmers and end-use customers in a year that has already been very challenging.
“We would like to thank Minister Hadju, the federal mediators, CP and the unions for working hard to help avoid a disruption in service,” said WGEA Executive Director Wade Sobkowich. “Minister Hadju’s interaction on this demonstrates the Government’s understanding of the need to ensure that the Canadian economy does not suffer from an avoidable rail work stoppage.”
WGEA notes rail service was unacceptably low throughout the winter of 2017/18, and a work stoppage at CP would have made it impossible to salvage the shipping season.
“We hope that this is not just a delay, but a step forward in resolving this labour negotiation,” added Sobkowich. “The impacts of a work stoppage would have hit Canadians that are employed in industries that rely on rail the hardest, rather than either CP management or the unions, and we applaud the government and the parties for getting an acceptable package on the table.”
The WGEA is an association of grain businesses operating in Canada which collectively handle more than 90% of western Canada’s bulk grain exports.