24 The Business of Prairie Agriculture Better Farming | September 2024 Rail Strike Grain Impacts At press time, Canadian National Railway (CNR) and Canadian Pacific Kansas City (CPKC) were saying they would lock out employees unless they can reach deals to avoid a potential rail strike. This followed Teamsters Canada Rail Conference (TCRC) members recently voting to authorize strikes, and a more-recent ruling by the Canada Industrial Relations Board (CIRB) that “a work stoppage would not cause an immediate threat to public health and safety.” The CIRB ruled on Aug. 9 that commodities transported on railways are not considered essential services because “reasonable alternatives” exist in the form of long-haul trucking. That ruling created the likelihood of a strike or lockout by Aug. 22. (The TCRC’s collective agreement expired at the end of 2023 but was extended while the parties negotiated. The overwhelming majority of the TCRC members who voted favoured going on strike with the aim of securing better wages, improved conditions and flexibility on fatigue management.) A rail strike could significantly impact the grain sector in the Prairie provinces. But even if a deal is reached before this magazine reaches your farm, larger questions remain, and will linger. How did this situation develop? Have reputations or relationships been damaged even before any strike happened? How might this down-to-thewire drama be avoided in the future? Caught in the crossfire are Prairie grain producers, who rely on the railways for 80 to 90 per cent of their grain exports. Shannon Sereda, director of government relations, policy and markets for Alberta Grains, notes that the railways are the only logistic option that makes sense. “It’s not feasible from a cost standpoint to truck grain, so there’s quite literally very few options besides rail to get their grains to the elevators,” says Sereda. “If the elevators can’t accept the grain if rail cars aren’t arriving, then they’re just unable to deliver even to the local elevator.” Jonothan Hodson, vice-chair of the Manitoba Crop Alliance and part of the latest generation of his family to run Rosebank Farms, says this potential strike is particularly concerning since it encompasses both railways at the same time. “Strikes have happened in the past, but it’s very rare that both of them are RAIL STRIKE UNCERTAINTY CAME AT THE 'WORST TIME' FOR OUR INDUSTRY. SO HOW & WHY DID WE GET HERE? GRAIN GROWERS CAUGHT IN THE CROSSFIRE By MATT JONES jkgabbert - stock.adobe.com
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