Rail disruption update: Services restored under order from federal labour board, while unions prepare appeal

As of Monday morning, August 26, 2024, railways for CN and CPKC are operational again, following a decision by the Canada Industrial Relations Board (CIRB) made on the weekend. 

The labour dispute, however, is far from over, with the Teamsters Canada Rail Conference set to appeal the ruling in court. 

The work stoppage at both national railways began last Thursday, with more than 9,000 railway workers locked out, affecting both national freight lines and commuter lines in the Toronto, Montreal, and Vancouver areas. 

We will continue to provide updates as this complex situation unfolds. If you need support navigating the uncertainty, please reach out.

August 23 Update:

Rail service at Canadian National Railway (CN) has been temporarily restored following an intervention from the federal government. However, the Teamsters union has issued a 72-hour strike notice, meaning rail workers could put up picket lines again barring a breakthrough in negotiations or a government order. 

As of Friday morning, the work stoppage at Canadian Pacific Kansas City (CPKC) is continuing, pending an order from the Canadian Industrial Relations Board (CIRB). 

We will continue to provide updates as the situation unfolds. If you need support navigating this complex situation, please reach out.

Original post: Rail Network Shutdown in Canada: Current Status and Alternative Solutions.

On August 22nd, 2024, the country’s largest railways—Canadian National (CN) and Canadian Pacific Kansas City (CPKC)—formally locked out union rail employees, resulting in a complete shutdown of the rail network across Canada.

Discussions with industry leaders, including contacts within CP and CN, suggest that this shutdown could potentially last up to two weeks, as negotiations between the parties remain at a standstill. While we hope for a quicker resolution, Canaan Group stands ready to assist our customers with urgent cargo needs during this challenging time.

Marine Terminal Updates

• Operational Status: Marine terminals remain open; however, some vessels are experiencing delays in receiving export cargo.
• Vessel Diversions: Certain vessels are considering bypassing ports in Vancouver, Prince Rupert, Montreal, and Halifax.
• Import Containers: Available for pickup, though special reservations may be required.
• Export Containers: Receiving is limited due to a shortage of empty equipment and early return dates (ERD) for vessels.

Alternate Shipping Options

• Air Freight: Less-than-container load (LCL) cargo is being redirected to air freight.
• Import Containers: Containers discharged in Canada remain available for pickup. Containers discharged in the U.S. will need to be trucked to Canada and cleared through customs.
• Export Containers: While marine terminals remain open, export containers can still be received on a limited basis. However, as congestion builds, these containers may need to be rerouted to U.S. ports, including Tacoma, Seattle, and New York, for export.
• Refrigerated Cargo: Urgent refrigerated shipments can be expedited via truck to the U.S. These shipments will require a T1 bond to avoid customs delays.

For more information or assistance, please contact your Canaan Group representative at sales@canaangroup.ca or info@canaangroup.ca.