As Canada braces for an unprecedented shutdown of its two largest freight railroads, Breitbart reported that Canadian Prime Minister Justin Trudeau has bowed to demands from leftists in his coalition not to intervene.
According to the report, employees seek to avoid government action in support of the railroad companies, no matter the cost. The sides are set to stop work if they don't reach a deal by Thursday. A shutdown could affect supply chains on both sides of the border and devastate both the U.S. and Canadian economies.
The union, Teamsters Canada Rail Conference, represents some 9,300 employees from train crews to dispatchers at Canadian National and Canadian Pacific Kansas City, the country's largest railroads. The workers are seeking higher pay, better benefits, and more predictable work schedules.
While the two rail companies usually stagger their labor contracts to avoid such a scenario, Canadian National asked for a one-year extension in 2023, bringing negotiations into this year.
Canadian National and Canadian Pacific Kansas City stopped shipping hazardous materials on Monday in anticipation of a potential work stoppage, and have been slowly shutting down other traffic as the Thursday 12:01 a.m. ET deadline looms.
Analysts say shutting down food shipments at the height of harvest season could cause prices to spike and leave grocery store shelves empty, while a prolonged strike could cause billions of dollars in damage.
The U.S. and Canadian Chambers of Commerce issued a joint statement Monday, saying, "The government of Canada must take action to ensure goods continue to move reliably between our two countries." Another U.S. trade group warned that a Canadian railroad strike would hurt farmers on both sides of the border. About 15% of cross-border trade is handled by Canadian railroads.
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