Canada's ports face rising tension as labour disputes threaten billions in daily trade
Business groups are calling on Prime Minister Justin Trudeau’s government to end labour disputes at Canada’s largest ports to avoid disruptions in the national supply chain.
They are asking for similar government intervention to what was seen with the country’s railways in August, as reported by BNN Bloomberg.
Port employers in Montreal locked out 1,200 union workers on Sunday after they rejected a contract proposal, which offered a nearly 20 percent wage increase over six years.
In British Columbia, hundreds of dock foremen have already been locked out for over a week. Together, these disruptions are affecting ports handling an estimated $1.2bn of goods daily, according to businesses.
The groups are urging Labour Minister Steven MacKinnon to escalate the issue to the Canada Industrial Relations Board, which has the authority to order arbitration.
Earlier, MacKinnon had used this approach to resolve a strike at Canada’s two largest railways. However, that intervention led to backlash, with the Teamsters Canada Rail Conference launching a court challenge.
The union claims that this action violated workers’ constitutional rights, setting what it called a dangerous precedent.
The political landscape around labour issues has since shifted, with the New Democratic Party (NDP) withdrawing from a parliamentary agreement with Trudeau’s Liberals to support key legislative votes.
The government now faces uncertainty over whether it could secure enough votes to pass a back-to-work bill for port workers, should that action be required.
Declining to comment, MacKinnon’s office did not respond to requests for statements on the current situation.
Michel Murray, representing the Montreal Longshoremen’s Union, criticized the port employers, stating they “act as bullies.” He suggested that their refusal to negotiate indicates “they clearly want the federal government to intervene.”
Michel Leblanc, CEO of the Chamber of Commerce of Metropolitan Montreal, noted the financial impact, stating, “Nearly $6bn worth of goods are expected to arrive at the port over the next two weeks.” He described the situation as “urgent.”
Business Council of Canada CEO Goldy Hyder expressed concerns over the broader economic implications, emphasizing that these disputes “continue to weaken Canada’s economy and tarnish its reputation as a reliable trading partner.”
In a November 9 letter to MacKinnon and Transport Minister Anita Anand, Hyder warned that “Canada’s ports will continue to lose market share if the country’s reputation for labour instability isn’t corrected soon.”
According to a group of port employers, the latest offer in Montreal would have raised the average annual dockworker salary to more than $200,000.
