PLATTSBURGH, NY (WCAX) – Labor disputes in Canada have led to massive disruptions to rail service. For Plattsburgh businesses, a prolonged outage could mean trouble.
“The big hope is that they will reach an agreement and be back tomorrow,” said Tanner Baraby.
Baraby is co-owner of South Junction Enterprises in Plattsburgh, a logistics company that he said handled more than 770 rail cars last year alone.
“We use conveyor belts to unload these bulk goods onto semi-trailers and then they are delivered. This is called the last mile,” explains Baraby.
He says his company could feel the impact of the closure of Canadian National Rail and Canadian Pacific Kansas City to freight traffic to and from Canada.
“This is unprecedented,” said Garry Douglas, president of the North Country Chamber of Commerce.
Douglas says that from Montreal alone, about 30 percent of cargo finds its way to the United States and that 50 percent of that is transported by rail.
“Some of our companies use the rail to source products and supplies for their manufacturing operations. One of them is Schluter Systems here in Plattsburgh, where some of the sand and cement materials come from the north rather than the south,” Douglas said.
In addition to product delays, Douglas said northern officials are also concerned that the closure could sabotage the resumption of Amtrak’s Adirondack Line. Passenger rail service has been suspended for months as workers at CN Rail continue to renovate a section of track in Canada. He says Amtrak has plans to restart the line in early September and Congresswoman Elise Stefanik has been in contact with both railroads.
“They’re looking for further assurances from Amtrak on safety, which they haven’t received yet. But CN has been very reassuring that the necessary track work is on schedule and they don’t see anything that would have to interrupt service until the end of this year or next year,” Douglas said.
On Thursday, an Amtrak spokesman said they were in contact with their partners regarding possible impacts of the closure.
However, Douglas expressed hope that the industrial action in Canada will not last long.
“Get this sorted out by whatever method, whether it’s some kind of restitution order, binding arbitration, whatever it takes. Don’t let this go on for more than a few days,” Douglas said.
Baraby says anything that takes longer than a few days could pose significant challenges in the long run.
“We are prepared to hold out for about a week, but otherwise we hope they come to an agreement,” he said.
All rights reserved.
