Striking rail workers in Canada served with lay-off notices

Bloomberg

Workers are receiving lay-off notices and chemical companies face shutdowns as the effects of Canada’s largest rail strike in a decade ripples through the economy.
The strike by about 3,200 conductors and railyard operators at Canadian National Railway Co (CN) is entering its seventh day, disrupting cargoes of everything from wheat to propane.
In Halifax, Nova Scotia, on Canada’s east coast, the Unifor union said it received notice that 70 workers at a CN Rail autoport facility, which handles car distribution across North America, will be laid off as due to the strike, while the chemical industry joined the oil sector in feeling the full brunt of the walkout.
“Many of Canada’s chemistry facilities will be entering shutdown mode — either because they have nowhere left to store products, or because they can no longer receive the materials necessary for their operations,” Bob Masterson, chief executive officer of the Chemistry Industry Association of Canada, said in an opinion column in The Globe and Mail newspaper.
“While some companies and facilities may be able to transition staff to maintenance activities, others will have little choice but to furlough workers until the strike ends and service is restored,” Masterson said.

Shaving Growth
The dispute, over working conditions and benefits, is threatening to hobble Canada’s export industries and stunt its already weakening growth. The strike could shave off almost a quarter-point from growth this quarter if it lasts through December 5, according to Toronto-Dominion Bank economists. That’s when lawmakers, who have the power to break the impasse, return to parliament. CN Rail is one of two main rail networks that ship goods across the country for export to the US and overseas.
“This strike has affected all of our operations, including at our autoport facilities,” CN said in an emailed statement about layoffs in Halifax. CN shares were down 0.5% at C$120and have lost about 2.5% since the strike began on November 19.
After driving their tractors to CN Rail’s headquarters in Montreal, farmers plan to march to PM Justin Trudeau’s constituency office in the city to urge the government to find a way to end the strike.
An increasing number of grain producers have run out of propane and have little choice but to let crops rot in the fields, with financial losses in sight, said Patrice Juneau, a spokesman for the Quebec farmers union, L’Union des producteurs agricoles. Small animals such as piglets or chicks also can’t survive without heating, he said.
“The Canadian government so far has shown itself to be rather insensitive to the issue,” Juneau said by phone.