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Rail shutdown begins as employees locked out

Trains across the country have ground to a halt as 9,300 workers were locked out by both of Canada’s major railways after they failed to agree on a new contract before a 12:01 a.m. EDT deadline.

The shutdown marks the first ever simultaneous work stoppage at Canadian National Railway and Canadian Pacific Kansas City.

The Railway Association of Canada says the shutdown puts a halt to about $1 billion in goods traffic each day, some of which was pre-emptively stopped to avoid having cargo stranded in the event of a stoppage.

Transit authorities have said select commuter lines that run on Canadian Pacific tracks in Toronto, Montreal and Vancouver will be suspended.

Business groups have demanded the government step in by imposing binding arbitration and barring strikes and lockouts as the process plays out.

Prime Minister Justin Trudeau on Wednesday had called on both sides to work out a deal at the bargaining table.

This report by The Canadian Press was first published Aug. 22, 2024.

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