Canada’s Labour Minister Orders Arbitration in Port Strikes

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  • Canada’s Labour Minister has directed the Industrial Relations Board (IRB) to end port strikes.
  • The strikes impact C$1.3 billion (US$932 million) in goods daily, affecting supply chains and jobs.
  • The IRB is mandated to extend bargaining agreements and impose binding arbitration.

Canada’s Labour Minister, Steve MacKinnon, has ordered the Industrial Relations Board (IRB) to intervene in ongoing port strikes along both coasts. MacKinnon announced the IRB’s involvement in X, emphasizing that current agreements must be extended until new deals are reached, reports Loadstar.

Arbitration Directive and Bargaining Extension

MacKinnon instructed the IRB to implement “final and binding arbitration” on all involved parties.

He stressed the importance of restoring stability, given the impasse in collective bargaining between unions and employers at the ports of British Columbia, Montreal, and Quebec.

Economic Impact of Port Strikes

The strikes are estimated to disrupt around C$1.3 billion (US$932 million) in goods daily.

MacKinnon voiced concern over the impact on Canadian supply chains, jobs, and the economy, highlighting that Canadians have limited patience for economic disruption.

Call for Settlement to Prevent Further Impacts

MacKinnon conveyed optimism that a settlement could still be reached to avoid layoffs and economic damage.

However, he underscored that the strikes’ consequences were felt broadly, as they affect all Canadians.

IRB Independence and Government Influence

Despite its independent status, the IRB needs to comply with government orders. MacKinnon assured that the IRB would act on his instructions within a few days, suggesting a swift resolution.

The International Longshore and Warehouse Union Local 514 in British Columbia stated it would challenge the order in court and criticized both the government and employers for what it saw as attacks on labor.

Recent Rejection of EMEA’s Offer in Montreal

Tensions rose following CUPE Local 375’s rejection of the Maritime Employers Association’s (MEA) latest offer. The offer included a 20% cumulative salary increase over six years, backdated to 2024.

The MEA argued that this would raise dockers’ average pay above C$200,000 annually.

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Source: Loadstar