The federal government in Ottawa has brought a swift end to the national rail stoppage across Canada through an order requiring binding arbitration.
The freight rail stoppage at Canadian National Railway (CNR) and Canadian Pacific Kansas City (CP), the country’s two biggest railways, lasted only a day before federal officials intervened.
Both railways said they are preparing to get trains running again after receiving final binding arbitration orders from the Canada Industrial Relations Board.
Prime Minister Justin Trudeau’s government stepped in quickly to end the rail stoppage that Moody’s (MCO) credit rating service estimated would cost the Canadian economy $341 million a day.
The government was also pressured by business groups in both the U.S. and Canada to quickly end the labour disruption at CN Rail and Canadian Pacific, which had brought shipments of grains, metals, chemicals and goods to a halt.
The two railways are at odds with the Teamsters union that represents a combined 10,000 workers at both companies over pay, safety and scheduling issues.
The two sides had been negotiating for months before talks aimed at reaching a new collective agreement broke down. The railways locked out workers after receiving strike notices from the Teamsters.
The stock of Canadian Pacific Kansas City has increased 2% over the last 12 months to trade at $109.43 a share.
Canadian National’s stock has also risen 2% in the past year and now trades at $156.18 per share.
