LOCATION: National
ISSUE/SOURCE: Labour Disruptions in the Transportation Sector
DATE: May 2025
SUGGESTED RESPONSES
- Transport Canada is closely monitoring labour negotiations in the transportation sector and is hopeful that resolutions can be reached in advance of any work stoppages, as this can prevent disruptions to supply chains.
- Ensuring that essential goods reach Canadians as quickly as possible is a top priority for the Government of Canada. Resilient and efficient supply chains are not only critical to ensuring the competitiveness of Canadian businesses, but also for the daily lives of Canadians.
- Everyone — the employer(s), the union(s), the mediators, and the Government of Canada — understand the urgency to resolve disputes as quickly as possible as Canadians and our international partners rely on efficient supply chains.
IF PRESSED
- Transport Canada will continue to work closely with counterparts at the Federal Mediation and Conciliation Service at Employment and Social Development Canada, who are the lead on this issue, and are actively engaged.
- In the event of a work stoppage, Transport Canada would continue to enforce safety requirements and maintain regular contact with any transportation companies whose operations could be affected, to assess potential impacts and ensure compliance with regulatory and legislative requirements, at all times.
- The Government of Canada respects and has confidence in the collective bargaining process and strongly encourages parties to work together to reach resolutions as early as possible. The best deals are the ones reached by the parties at the bargaining table.
BACKGROUND INFORMATION
Labour Negotiations
- Transport Canada is closely following several labour negotiations in the transportation sector that could potentially have an impact on our economy.
- As of May 2025, these include cabin crew at Air Canada, pilots from Air Transat, service and maintenance workers at VIA Rail, and security services at regional airports in B.C., Ontario and Atlantic Canada.
- These negotiations add additional uncertainty to a global and domestic economic situation that is already strained from trade uncertainty, have forced Canadian supply chains to adapt at higher cost and efforts.
- This uncertainty also follows repeated major labour disruptions in Canada that have caused major harms to the economy: the lockout of both Class 1 railways in August 2024, the work stoppages at both the West Coast ports and the Port of Montreal in fall 2024, and the longshoremen strike in the U.S. east and gulf coasts in fall 2024.
Industrial Inquiry Commission labour disputes at Canada’s West Coast ports
- In April 2024, the Minster of Labour announced a commission to assess the underlying issues in longshoring labour disputes at Canada’s West Coast ports. These ports are vital to Canada’s supply chains, and the scale of recent disruptions was a burden on many businesses causing cascading impacts to the Canadian economy. The Commission is slated to present its findings and recommendations in a report to the Minister in Spring 2025.