The St. Lawrence Seaway has shut down as hundreds of workers walked off the job Sunday.
The halt is expected to affect cargo shipments immediately along the artery that runs between Montreal and Lake Erie.
In a release shortly after midnight on Sunday, the union said they were unable to reach an agreement with the employer by the strike deadline, despite negotiations “right up to the last moment.”
“We cannot allow workers’ rights to be compromised. We remain open to discussion and hope that the employer will reconsider its position for the good of all,” Daniel Cloutier, Unifor’s Quebec director, said in a release.
Seeking wage increases
The union said this week that it remained “1,000 nautical miles apart” from management on wages — the key wedge in discussions — and that it was up to the employer to avoid any transit disruption.
“These are jobs that require intense training, a high level of understanding of the health and safety risks, and that carry enormous responsibility for the well-being of seafarers and their cargo. They are irreplaceable,” Cloutier said in an earlier release.
In its own statement released after midnight, the St. Lawrence Seaway Management Corporation (SLSMC) said the parties are at an impasse as Unifor “continues to insist on wage increases inspired by automotive-type negotiations,” and the seaway will remain shut down until an agreement can be reached.
St. Lawrence Seaway workers are pictured on the picket line early Sunday morning after deciding to go on strike. (Unifor)
“The stakes are high, and we are fully dedicated to finding a resolution that serves the interests of the corporation and its employees,” SLSMC president and CEO Terence Bowles said in a statement.
“In these economically and geopolitically critical times, it is important that the seaway remains a reliable transportation route for the efficient movement of essential cargoes.”
Slow progress in talks
The SLSMC said on Friday that it remained committed to negotiating in good faith, but also said progress had been slow and the union’s wage demands could lead to higher tolls.
On Wednesday, it cited the potential impact on freight shipments as a major concern.
“Cargo movements through the seaway are an important part of the North American economy and supply chain,” said spokesperson Jean Aubry-Morin.
“In particular, this labour action would impact grain movements during a period when the world is in dire need of this essential commodity, even as supply has been affected by the situation in Ukraine and the greater frequency of extreme weather events being experienced around the world.”
The corporation said it is waiting for a response to its application to the Canada Industrial Relations Board, seeking an order to confirm the application of the Canada Labour Code related to the movement of grain during a strike.
It said a shutdown of the system took place during the 72-hour notice period allowing vessels to safely clear the Seaway system, and the SLSMC is in regular contact with the marine industry. There are currently no vessels waiting to exit the system, but there are over 100 outside the system that are impacted by the situation, the statement read.
Some 360 workers ranging from engineers to administrators comprise the five union locals who were in negotiations with the management authority until Saturday night.
Talks began in June with the help of a federal mediator, and continued after Unifor issued a 72-hour strike notice to the employer on Wednesday.
Last year, some $16.7 billion worth of cargo — nearly half of it grain and iron ore — traversed the system of locks, canals and channels.
Wages need to catch up, workers say
Marjolaine Brunet, who works as a maritime radio traffic controller and structure operator, said she’s striking because she wants a better salary.
“I think of my salary 19 years ago and what my purchasing power could actually purchase and what I can purchase now it has gone downhill,” Brunet said.
Jason Rodgers, president for his local Unifor chapter, said workers don’t want to strike but have been left little choice with stagnant wages.
“We feel that there’s a lot of catching up to do with the salaries. We’re less and less competitive with other industries, businesses around,” he said. Stagnant wages have led to employees leaving for positions elsewhere throughout the years, Rodgers added.
“We want to put a stop to that and negotiate something that’s going to be acceptable for employees and something that’s going to help with the job retention and help us with the future hires.”
Impact on economy, businesses
In a statement Sunday, the Montreal Port Authority said the Great Lakes and St. Lawrence River maritime ecosystem serves 75 per cent of the country’s manufacturing capacity and nearly two-thirds of the Canadian population.
“Any interruption or breakdown of services in the supply chains undermines the resilience of the economy, both regionally and nationally,” said spokesperson Renée Larouche in a statement.
The Montreal Port Authority is calling on all parties to find a rapid solution to “limit the negative impact, both on the companies that rely on these goods and on Canada’s reputation as a trading partner.”
The Canadian Federation of Independent Business (CFIB) expressed concern about the strike’s impact on small and medium-sized enterprises (SMEs), especially after they were severely affected by this summer’s lengthy strike at B.C. ports.
“SMEs and the Canadian economy as a whole don’t need another strike blocking an important trade route and hampering trade,” said Jasmin Guénette, vice-president of national affairs with the CFIB.
“SMEs are already facing inflation, labour shortages, high debts and falling demand. They can’t afford another strike that would have a negative impact on their operations.”
The CFIB is calling on the government to ensure that the St. Lawrence Seaway remains fully operational while negotiations continue. It’s also continuing its call for federally regulated workers essential to the supply chain to be recognized as essential workers to avoid similar strikes in the future.
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.
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.
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.
