Canadian Rail Workers Return Amid Ongoing Dispute at CP Railway

The union representing Canadian National Railway workers will resume work, while the Canadian Pacific Kansas City Ltd. work stoppage continues pending a decision by the Canada Industrial Relations Board. The Canadian government has intervened, forcing both railroads into arbitration to avoid severe economic repercussions.

The union representing workers at Canadian National Railway Co. has dismantled picket lines, with employees set to return to work on Friday.

However, the work stoppage at Canadian Pacific Kansas City Ltd. (CPKC) remains unresolved, awaiting a ruling from the Canada Industrial Relations Board (CIRB), the Teamsters said.

The Canadian government stepped in late Thursday, compelling the country's two major railways into arbitration to avert severe economic repercussions. The action came after more than 16 hours of labor impasse between Canadian National and CPKC, which resulted in a lockout.

Canada's labour minister referred the dispute to the CIRB for binding arbitration, following the unprecedented stoppage. Officials from both CPKC and the union are scheduled to meet again on Friday.

CPKC was ready to discuss resuming services with the CIRB, but the union opted to challenge Labour Minister Steven MacKinnon's directive's constitutionality.

The union, representing 10,000 engineers, conductors, and dispatchers, accused the railroads of creating a crisis to force governmental intervention. The lockout at 12:01 am Thursday followed failed contract negotiations.

The disruption halted Canada's rail freight worth over $1 billion Canadian daily, affecting 30,000 commuters and US-Canada trade. Despite the lockout, CPKC and CN's US and Mexico operations continued.

Industries are anxious about potential crises without rail services, as railroads are crucial for delivering raw materials and products. Billions of dollars worth of goods are transported monthly between Canada and the US, according to the US Department of Transportation.

(With inputs from agencies.)