Rail shutdown: Union says it will challenge Ottawa’s arbitration order

The union representing rail workers has said it is looking at options to challenge Ottawa’s decision to ask the Canada Industrial Relations Board to impose final, binding arbitration to end a shutdown at both of Canada’s largest railways.

Speaking in Ottawa less than 24 hours after thousands of unionized workers at the country’s two main railway companies were locked out, Labour Minister Steve MacKinnon said he will use his powers under the Canada Labour Code to “secure industrial peace” and impose final, binding arbitration.

He said he has also directed the Canada Industrial Relations Board to extend the term of the current collective agreement until a deal is reached, and to order a return to work.

François Laporte, national president of Teamsters Canada, said Thursday the union was speaking to its legal advisors and considering its next steps.

“We believe that the Supreme Court decision regarding our right to strike is a constitutional right. And we believe that the application of Article 107 (of the Canada Labour Code) is not valid. We are looking at our options regarding that situation,” he told reporters in Calgary on Friday.

Laporte said the union was caught off guard by MacKinnon’s announcement of binding arbitration.

“Two weeks ago he said, well, no (binding) arbitration and no back-to-work (legislation),” he said.

Laporte said they will continue to oppose arbitration by a third party.

“The best way to have a contract is at the bargaining table,” he said.

Shortly after MacKinnon’s announcement, Canadian National said in a statement that it was ending the lockout.

“As CN awaits the formal order from the Canada Industrial Relations Board (CIRB), the Company is making this decision to expedite the recovery of the economy,”