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Canada tells rail companies, unions to avoid crippling stoppage

The union says the two main rail companies want to dilute safety provisions, a charge the firms deny.

The Canadian government has told the country’s two main railway companies and the Teamsters union to work harder to reach labour deals.

The government comments came on Monday as it tries to head off a crippling transport stoppage.

Unless agreements are reached, both the Canadian National Railway (CN Rail) and Canadian Pacific Kansas City (CPKC) will shut down at the same time early on Thursday for the first time in history.

Canada – the world’s second largest country by territory – relies heavily on rail to ship grain, fertilizer and commodities, and the country’s main business lobby group estimated losses would hit CAD$1 billion (US$733m) a day during a stoppage.

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