And the CBC reports that MacKinnon’s move may not mean an immediate end to the lockout of TCRC train drivers and conductors, which began at 12:01 a.m. today (August 22) at the two railroads.

The railway traffic controllers at CPKC, represented by the same union, were also locked out.

“This collective bargaining process belongs to CN Rail, CPKC and TCRC alone – but its impact and the consequences of the current impasse are borne by all Canadians,” said MacKinnon. “As Minister of Labour, I believe the parties are at a fundamental impasse. Therefore, it is my duty and responsibility to use my powers under the Canadian Labour Code to ensure industrial peace and find the short and long-term solutions that are in the national interest.”

The existing contracts between the TCRC and both railroads will be extended until new agreements are signed. Negotiated agreements are always preferable, MacKinnon said, but the needs of the nation outweigh the need for a deal reached at the negotiating table.

“Workers, farmers, commuters and businesses rely on Canada’s railways every day and will continue to do so. It is the government’s duty and responsibility to ensure industrial peace in this vital sector,” said MacKinnon. “That is why we will examine why we
repeated conflicts in the rail sector and the conditions that have led to the parallel work stoppages we are now witnessing. Canadians can be assured that their government will not allow them to suffer when parties fail to meet their responsibilities, especially when their livelihoods, worker safety and their communities are at stake.”

CN said in a statement this evening that the lockout ended at 6 p.m. Eastern Time and the recovery plan was initiated, in anticipation of a formal order from the Canada Industrial Relations Board “to accelerate the economic recovery.”

“While CN is pleased that this labor dispute has ended and the company can resume its role as an engine of the economy,” the railroad company said in a statement, “the company is disappointed that despite all efforts at the negotiating table, no agreement could be reached.”
CPKC said it is preparing to resume operations and will provide further details on the schedule once the CIRB order is received.

“The Canadian government recognizes the immense impact of a rail work stoppage on the Canadian economy, North American supply chains and all Canadians,” CPKC CEO Keith Creel said in a statement. “The government acted to protect Canada’s national interests. We regret that the government had to intervene because we fundamentally believe in and respect collective bargaining. However, given the risks to all involved, this situation required action.”

The TCRC said it was maintaining picket lines while it reviewed MacKinnon’s move and the CIRB’s response and sought legal advice. The union’s president, Paul Boucher, said the government’s actions “allowed CN and CPKC to bypass a union determined to protect rail safety. Although the federal government claimed to value and respect the collective bargaining process, it quickly used its authority to suspend it, just hours after an employer-imposed stop-work order. … Canada’s two major railways created this crisis, plunged the country into crisis and
taken hostage and manipulated the government to once again disregard the rights of Canada’s working class.”

Boucher called the decision “shameful” and said the government only made it “because it knew its minority could not muster the support needed to pass a legislative resolution to appease the railroad company.”

Meanwhile, Lisa Raitt, labour minister under former Prime Minister Stephen Harper, told CBC that the parties would still have to agree to arbitration: “Maybe you can write to the CIRB and ask them to order binding arbitration … but there’s no way a minister can write a letter and say everyone go back to work and I’m sending you to binding arbitration.”
MacKinnon said he was “confident” that his move would end the shutdown, but was cautious about saying it would definitely be the case, pointing out that the CIRB is an independent body.

“They have a process that requires consultation with the parties,” he said. “They will do that and make a decision, hopefully very quickly. … I want to be respectful of the process that will unfold.”

CN and CPKC had both sought arbitration to resolve the dispute, with MacKinnon last week rejecting a request for arbitration from CN. At the time, MacKinnon said it was the “joint responsibility” of CN and the union to negotiate in good faith.

Prime Minister Justin Trudeau said in a post on X.com that while collective bargaining is preferable, “when that is no longer a foreseeable option – when we face serious consequences for our supply chains and the workers who depend on them – governments must act.”
Transport Minister Pablo Rodriguez responded to MacKinnon’s move, writing on X.com that the government “is acting to preserve the stability and security for which our entire economy is known worldwide.”

The premiers of two prairie provinces whose economies are heavily dependent on rail transport – Scott Moe of Saskatchewan and Danielle Smith of Alberta, who had both called for federal intervention – welcomed the intervention in comments on X.com. Moe wrote that the government had “understood the
appropriate measures … to end the rail halt and ensure our Canadian products get back to market.” Smith wrote that she was “pleased” that MacKinnon had taken action.

— Trains writer David Lassen contributed to this report.