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CN shuts down eastern rail network, Via service

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Laura Kane, The Canadian Press


Published Thursday, February 13, 2020 4:51PM EST


Last Updated Thursday, February 13, 2020 10:41PM EST

Blockades set up by anti-pipeline protesters have forced Canadian National Railway Co. to shut down its entire network in Eastern Canada and Via Rail to cancel passenger service across the country.

CN said Thursday that the company must initiate a “disciplined and progressive” shutdown in the East and stop and safely secure all transcontinental trains across its Canadian network.

Via Rail said it has no other option but to cancel all service on CN track in Canada. There were no more departures as of 4 p.m. eastern and all trains en route were brought to the closest major train station.

“We understand the impact this unfortunate situation has on our passengers and regret the significant inconvenience this is causing to their travel plans,” Via said in a news release.

Protesters across Canada say they’re acting in solidarity with those opposed to the construction of the Coastal GasLink pipeline, which would cross the traditional territories of the Wet’suwet’en First Nation in northern B.C.

CN said its shutdown may lead to temporary layoffs for eastern Canadian staff.

It has sought and obtained court orders and requested the assistance of enforcement agencies for blockades in three provinces, but while blockades have been dismantled in Manitoba and may be ending imminently in B.C., a court order in Ontario has yet to be enforced.

More than 400 trains have been cancelled over the last week, said JJ Ruest, CN’s president and chief executive officer, in a news release.

“This situation is regrettable for its impact on the economy and on our railroaders as these protests are unrelated to CN’s activities, and beyond our control. Our shutdown will be progressive and methodical to ensure that we are well set up for recovery, which will come when the illegal blockades end completely.”

He said while Via service will be discontinued across CN’s network, commuter rail services such as Metrolinx and Exo can keep operating as long as they do so safely.

Prime Minister Justin Trudeau told reporters after landing in Munich, Germany, that his government is monitoring the situation very closely and he had a long and productive conversation with B.C. Premier John Horgan on the plane.

“We’re concerned with the rule of law and we need to make sure that those laws are followed,” Trudeau said.

The B.C. and federal governments have agreed to meet with Gitxsan and Wet’suwet’en hereditary chiefs to discuss a blockade near New Hazelton, B.C.

Gitxsan hereditary chief Norm Stephens said the blockade will be dismantled during the talks but if the province doesn’t agree to cancel Coastal GasLink’s permit then it may go back up.

Transport Minister Marc Garneau said he is deeply concerned by the impact of the decision CN was forced to make and its effect on Via Rail.

“A safe and efficient passenger and freight rail service is critical to the well-being of our country,” Garneau said on Twitter.

Garneau said he would be meeting with his provincial counterparts and Indigenous groups on Friday to discuss a way forward.

He said all parties must engage in open and respectful dialogue to ensure this situation is resolved peacefully.

“We are encouraged by the progress on the blockade in New Hazelton. This is a positive development and we are actively working for a similar resolution on all remaining blockades.”

Coastal GasLink has signed agreements with all 20 elected band councils along the pipeline route but the Wet’suwet’en hereditary chiefs say councils only have authority over reserve lands, not traditional territories that have never been ceded through a treaty.

“They got that permit by consulting with the band council,” said Stephens. “They have no authority on the hereditary chiefs’ land.”

Indigenous Services Minister Marc Miller is also setting up a meeting with Indigenous leaders in an effort to halt a blockade near Belleville, Ont., which he called a “highly volatile situation.”

Tyendinaga Mohawk Chief Donald Maracle said he expects the meeting will proceed but he can’t comment on Miller’s request to end the blockade because it wasn’t initiated by his council.

Railway shippers called on the prime minister to “act decisively” to prevent a complete shutdown of Canada’s rail system.

Delays caused by the blockades will have immediate consequences for farmers across the country, said Grain Growers of Canada chairman Jeff Nielsen.

“We are an industry that relies on export markets in order to survive and thrive. Without access to these markets via rail, we risk compounding further losses on top of what has already been a harvest from hell,” he said in a news release.

Canada’s forest products sector is responsible for 10 per cent of total tonnage moved along the country’s railway lines.

“Some companies are now in a position that they can’t guarantee delivery dates to customers – a massive business risk and a dark cloud over Canada’s reputation as a reliable trading partner,” said Derek Nighbor, president and CEO of Forest Products Association of Canada.

Teamsters Canada, the country’s largest union in the transportation sector, also called on the federal government to intervene.

“Hundreds of our members have been out of work close to week. Now up to 6,000 of our members risk not being able to support their families or make ends meet this month, and they are powerless to do anything about it,” said National President Francois Laporte.

Passengers dealing with cancelled Via Rail trains at Toronto’s Union Station were disappointed but calm on Thursday evening. Ethan Sun and Angi Xhang, a Toronto-based couple, were headed to Montreal for a Valentine’s Day getaway. That route has been down for days, unbeknownst to them.

“We’re obviously very frustrated and disappointed, because we have our entire trip planned and we’re very excited for it, and it’s a long weekend,” said Xhang.

Jane Gooder was trying to get home to London, Ont., after working in Toronto through the week.

She said she’s found someone to come pick her up, but she was “gobsmacked” when she first heard all trains were cancelled.

“I just thought, ‘Where do I start? Do I stay over?’ And then they said, ‘Even if you stay over the next day there’s no guarantee, this could go on to next week,’ ” she said.

In Manitoba, protesters dismantled a blockade on an east-west CN Rail line near Winnipeg due to a court injunction but insisted that there would be more action to come.

Protesters in B.C. planned mass demonstrations at numerous government buildings on Friday, days after hundreds blocked the entrances to the legislature and chanted “Shame.”

However, a B.C. Supreme Court judge granted the province an injunction on Thursday afternoon authorizing police to arrest and remove anyone blocking entrances at the legislature.

TransLink, Metro Vancouver’s transit authority, also said all West Coast Express commuter trains heading eastbound from downtown Vancouver to Mission were cancelled due to protesters blocking Canadian Pacific tracks.

– With files from Chris Purdy in Edmonton, Mia Rabson in Munich, Germany, Nicole Thompson and Ross Marowits in Toronto, David Reevely in Ottawa, Camille Bains in Vancouver and Dirk Meissner in Victoria.

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Carry On Canadian Business. Carry On!

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Human Resources Officers must be very busy these days what with the general turnover of employees in our retail and business sectors. It is hard enough to find skilled people let alone potential employees willing to be trained. Then after the training, a few weeks go by then they come to you and ask for a raise. You refuse as there simply is no excess money in the budget and away they fly to wherever they come from, trained but not willing to put in the time to achieve that wanted raise.

I have had potentials come in and we give them a test to see if they do indeed know how to weld, polish or work with wood. 2-10 we hire, and one of those is gone in a week or two. Ask that they want overtime, and their laughter leaving the building is loud and unsettling. Housing starts are doing well but way behind because those trades needed to finish a project simply don’t come to the site, with delay after delay. Some people’s attitudes are just too funny. A recent graduate from a Ivy League university came in for an interview. The position was mid-management potential, but when we told them a three month period was needed and then they would make the big bucks they disappeared as fast as they arrived.

Government agencies are really no help, sending us people unsuited or unwilling to carry out the jobs we offer. Handing money over to staffing firms whose referrals are weak and ineffectual. Perhaps with the Fall and Winter upon us, these folks will have to find work and stop playing on the golf course or cottaging away. Tried to hire new arrivals in Canada but it is truly difficult to find someone who has a real identity card and is approved to live and work here. Who do we hire? Several years ago my father’s firm was rocking and rolling with all sorts of work. It was a summer day when the immigration officers arrived and 30+ employees hit the bricks almost immediately. The investigation that followed had threats of fines thrown at us by the officials. Good thing we kept excellent records, photos and digital copies. We had to prove the illegal documents given to us were as good as the real McCoy.

Restauranteurs, builders, manufacturers, finishers, trades-based firms, and warehousing are all suspect in hiring illegals, yet that becomes secondary as Toronto increases its minimum wage again bringing our payroll up another $120,000. Survival in Canada’s financial and business sectors is questionable for many. Good luck Chuck!. at least your carbon tax refund check should be arriving soon.

Steven Kaszab
Bradford, Ontario
skaszab@yahoo.ca

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Imperial to cut prices in NWT community after low river prevented resupply by barges

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NORMAN WELLS, N.W.T. – Imperial Oil says it will temporarily reduce its fuel prices in a Northwest Territories community that has seen costs skyrocket due to low water on the Mackenzie River forcing the cancellation of the summer barge resupply season.

Imperial says in a Facebook post it will cut the air transportation portion that’s included in its wholesale price in Norman Wells for diesel fuel, or heating oil, from $3.38 per litre to $1.69 per litre, starting Tuesday.

The air transportation increase, it further states, will be implemented over a longer period.

It says Imperial is closely monitoring how much fuel needs to be airlifted to the Norman Wells area to prevent runouts until the winter road season begins and supplies can be replenished.

Gasoline and heating fuel prices approached $5 a litre at the start of this month.

Norman Wells’ town council declared a local emergency on humanitarian grounds last week as some of its 700 residents said they were facing monthly fuel bills coming to more than $5,000.

“The wholesale price increase that Imperial has applied is strictly to cover the air transportation costs. There is no Imperial profit margin included on the wholesale price. Imperial does not set prices at the retail level,” Imperial’s statement on Monday said.

The statement further said Imperial is working closely with the Northwest Territories government on ways to help residents in the near term.

“Imperial Oil’s decision to lower the price of home heating fuel offers immediate relief to residents facing financial pressures. This step reflects a swift response by Imperial Oil to discussions with the GNWT and will help ease short-term financial burdens on residents,” Caroline Wawzonek, Deputy Premier and Minister of Finance and Infrastructure, said in a news release Monday.

Wawzonek also noted the Territories government has supported the community with implementation of a fund supporting businesses and communities impacted by barge cancellations. She said there have also been increases to the Senior Home Heating Subsidy in Norman Wells, and continued support for heating costs for eligible Income Assistance recipients.

Additionally, she said the government has donated $150,000 to the Norman Wells food bank.

In its declaration of a state of emergency, the town said the mayor and council recognized the recent hike in fuel prices has strained household budgets, raised transportation costs, and affected local businesses.

It added that for the next three months, water and sewer service fees will be waived for all residents and businesses.

This report by The Canadian Press was first published Oct. 21, 2024.

The Canadian Press. All rights reserved.

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U.S. vote has Canadian business leaders worried about protectionist policies: KPMG

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TORONTO – A new report says many Canadian business leaders are worried about economic uncertainties related to the looming U.S. election.

The survey by KPMG in Canada of 735 small- and medium-sized businesses says 87 per cent fear the Canadian economy could become “collateral damage” from American protectionist policies that lead to less favourable trade deals and increased tariffs

It says that due to those concerns, 85 per cent of business leaders in Canada polled are reviewing their business strategies to prepare for a change in leadership.

The concerns are primarily being felt by larger Canadian companies and sectors that are highly integrated with the U.S. economy, such as manufacturing, automotive, transportation and warehousing, energy and natural resources, as well as technology, media and telecommunications.

Shaira Nanji, a KPMG Law partner in its tax practice, says the prospect of further changes to economic and trade policies in the U.S. means some Canadian firms will need to look for ways to mitigate added costs and take advantage of potential trade relief provisions to remain competitive.

Both presidential candidates have campaigned on protectionist policies that could cause uncertainty for Canadian trade, and whoever takes the White House will be in charge during the review of the United States-Mexico-Canada Agreement in 2026.

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

The Canadian Press. All rights reserved.

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