• Investing
  • Stock
Round Table Thoughts
  • Economy
  • Editor’s Pick
Home Editor's Pick Possible work stoppage at Canada’s two largest railroads could disrupt U.S. supply chain
Editor's Pick

Possible work stoppage at Canada’s two largest railroads could disrupt U.S. supply chain

by August 19, 2024
by August 19, 2024 0 comment
Share
0
FacebookTwitterPinterestWhatsapp

DETROIT — Canada’s two largest railroads are starting to shut down their shipping networks as a labor dispute with the Teamsters union threatens to cause lockouts or strikes that would disrupt cross-border trade with the U.S.

Both the Canadian Pacific Kansas City and Canadian National railroads, which haul millions of tons of freight across the border, have stopped taking certain shipments of hazardous materials and refrigerated products.

Both are threatening to lock out Teamsters Canada workers starting Thursday if deals are not reached.

On Tuesday, CPKC will stop all shipments that start in Canada and all shipments originating in the U.S. that are headed for Canada, the railroad said Saturday.

The Canadian Press reported that on Friday, Canadian National barred container imports from U.S. partner railroads.

Jeff Windau, industrials analyst for Edward Jones & Co., said his firm expects work stoppages to last only a few days, but if they go longer, there could be significant supply chain disruptions.

“If something would carry on more of a longer term in nature, then I think there are some significant potential issues just given the amount of goods that are handled each day,” Windau said. “By and large the rails touch pretty much all of the economy.”

The two railroads handle about 40,000 carloads of freight each day, worth about $1 billion, Windau said. Shipments of fully built automobiles and auto parts, chemicals, forestry products and agricultural goods would be hit hard, he said, especially with harvest season looming.

Both railroads have extensive networks in the U.S., and CPKC also serves Mexico. Those operations will keep running even if there is a work stoppage.

CPKC said it remains committed to avoiding a work stoppage that would damage Canada’s economy and international reputation. “However we must take responsible and prudent steps to prepare for a potential rail service interruption next week,” spokesman Patrick Waldron said in a statement.

Shutting down the network will allow the railroad to get dangerous goods off of its network before any stoppage, CPKC said.

Union spokesman Christopher Monette said in an email Saturday that negotiations continue, but the situation has shifted from a possible strike to “near certain lockout” by the railroads.

CPKC said bargaining is scheduled to continue on Sunday with the union, which represents nearly 10,000 workers at both railroads. The company said it continues to bargain in good faith.

Canadian National said in a statement Friday that there had been no meaningful progress in negotiations and it hoped the union “will engage meaningfully” during a meeting scheduled for Saturday.

“CN wants a resolution that allows the company to get back to what it does best as a team, moving customers’ goods and the economy,” the railroad said.

Negotiations have been going on since last November, and contracts expired at the end of 2023. They were extended as talks continued.

The union said company demands on crew scheduling, rail safety and worker fatigue are the main sticking points.

Concerns about the quality of life for rail workers dealing with demanding schedules and no paid sick time nearly led to a U.S. rail strike two years ago before Congress intervened and blocked a walkout. The major U.S. railroads have made progress since then in offering paid sick time to most rail workers and trying to improve schedules.

Windau said the trucking industry currently has a lot of excess capacity and might be able to make up some of the railroads’ shipping volumes, but, “You’re not going to be able to replace all of that with trucking.”

This post appeared first on NBC NEWS
You Might Also Like
  • About 800,000 BetterHelp online therapy customers receive refund notices
  • The fight for the future of the Murdoch media empire is about to begin
  • Johnson & Johnson to pay $6.5 billion to resolve nearly all talc ovarian cancer lawsuits in U.S.
  • More people are seeking work, but jobs are becoming harder to find
Share
0
FacebookTwitterPinterestWhatsapp

previous post
Harris proposes major corporate tax hike, reversing Trump era cuts
next post
Iran is ‘increasingly aggressive’ in its operations to target US presidential campaigns: Intel community

You may also like

Key Fed inflation measure rose 2.8% in March from a...

April 29, 2024

UAW members approve 4½-year contract with Detroit’s Big Three

November 17, 2023

Fed Chair Powell calls talk of cutting rates ‘premature’ and...

December 2, 2023

Laid off from a nearly six-figure job, this 61-year-old is...

July 8, 2024

Starbucks CEO is out after just over a year, replaced...

August 14, 2024

Major retailers are backtracking on self-checkout

July 4, 2024

Barcelona protesters throw items and spray travelers with water while...

July 11, 2024

Grubhub lays off 15% of corporate workforce, or about 400...

June 14, 2023

Becoming a nurse during Covid, a former producer doubled her...

July 8, 2024

Warren Buffett gives away another $5.3 billion, says his children...

June 28, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Nvidia results spark global chip rally

      May 30, 2025
    • Boeing to resume airplane deliveries to China next month, ramp up Max production, CEO says

      May 29, 2025
    • Nuclear Power Trio: OKLO, SMR, and CCJ in Focus

      May 29, 2025
    • Analyzing SIL, USO, and NVDA: Could These Bullish Patterns Trigger?

      May 29, 2025
    • E.l.f. Beauty to acquire Hailey Bieber skin care brand Rhode in up to $1 billion deal

      May 29, 2025

    Popular Posts

    • 1

      Trump-era China sanctions ended by Biden may be...

      June 27, 2024 2,764 views
    • 2

      Walz’s honeymoon with China gets fresh scrutiny as...

      August 9, 2024 2,470 views
    • 3

      Biden appointee played key role in recruiting Chinese...

      June 25, 2024 2,450 views
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful...

      July 10, 2024 2,429 views
    • 5

      Harris VP pick spent years promoting research facility...

      August 29, 2024 2,307 views

    Categories

    • Economy (7,009)
    • Editor's Pick (2,104)
    • Investing (538)
    • Stock (2,578)

    Popular Posts

    • 1

      Trump-era China sanctions ended by Biden may be revived under new House GOP bill

      June 27, 2024
    • 2

      Walz’s honeymoon with China gets fresh scrutiny as Harris camp blasts ‘lying’ critics

      August 9, 2024
    • 3

      Biden appointee played key role in recruiting Chinese businesses to Delaware: ‘Longtime friends’

      June 25, 2024
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful of Chinese spy threats

      July 10, 2024
    • 5

      Harris VP pick spent years promoting research facility that collaborated with ‘Chinese military company’

      August 29, 2024

    Latest News

    • Nvidia results spark global chip rally

      May 30, 2025
    • Boeing to resume airplane deliveries to China next month, ramp...

      May 29, 2025
    • Nuclear Power Trio: OKLO, SMR, and CCJ in Focus

      May 29, 2025

    Categories

    • Economy (7,009)
    • Editor's Pick (2,104)
    • Investing (538)
    • Stock (2,578)

    Disclaimer: RoundTableThoughts.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 RoundTableThoughts.com. All Rights Reserved.

    Round Table Thoughts
    • Investing
    • Stock
    Round Table Thoughts
    • Economy
    • Editor’s Pick

    Read alsox

    Federal Reserve again keeps interest rates...

    December 16, 2023

    Drone company’s stock soars after appointing...

    November 27, 2024

    Home Depot says the worst of...

    November 15, 2023
    Sign In

    Keep me signed in until I sign out

    Forgot your password?

    Password Recovery

    A new password will be emailed to you.

    Have received a new password? Login here