The Canadian Pacific Rail strike is already being felt by mining companies and the Mining Association of Canada (MAC) wants Ottawa to take action to resolve the dispute.
"A strike by CP workers will have a seriously harmful effect on the industry," said association president Pierre Gratton in a May 30 news release.
“The shipment of fuel and other supplies to mine sites will be compromised as will the transport of mineral products.”
Gratton urges the federal government to take immediate action to head off this work stoppage before it damages the economy.
He also recommends the government impose binding arbitration and consider this process as a required step to resolve future labour disputes involving Class 1 railroads, given the frequency and adverse impact of such disputes.
More than 3,000 workers at CP went on strike late on May 29 at Canada’s second-largest rail network after months of contract talks between the Calgary-headquartered railroader and its largest union, Teamsters Canada Rail Conference.
Two of CP’s major shippers are Teck Resources and potash producer Nutrien.
"On the backdrop of recent, painful and ongoing service disruptions in the rail freight market, and the damage this has already done to Canada's reputation as a reliable trading partner, the economy can ill afford the effects of a protracted labour dispute that grinds a half of Canada's rail freight capacity to a halt," Gratton added.
According to MAC's facts and figures, the mining industry accounts for more than 50 per cent of the annual freight revenues of Canada's rail system.
The industry contributes $58 billion to Canada's GDP, employed directly and indirectly 596,000 workers, and accounted for 19 per cent ($88 billion) of the total overall value of Canada's exports.
