02:01 PM EDT, 08/09/2024 (MT Newswires) -- The country's labour tribunal says services provided by rail employees do not amount to essential work, opening the gate to a full-fledged strike in less than two weeks, according to report from The Canadian Press, as published on the website of The Globe and Mail.

In a pair of rulings Friday, the report noted, the Canada Industrial Relations Board said a work stoppage would not pose a "serious danger" to public health or safety, despite concerns around food security, fuel supply and water treatment.

Consequently, in the event of a work stoppage, employees of the two main railways would not be compelled to continue hauling goods, including key commodities such as chlorine for water and propane for care centres.

The 13-day cooling-off period ordered by the tribunal means that if new contracts cannot be reached, a nationwide strike could occur as early as Aug. 22.

Shippers and producers say the potential job action by workers at Canadian National Railway Co. ( CNI ) or Canadian Pacific Kansas City Ltd. ( CP ) -- or both simultaneously -- would halt freight traffic, clog ports and disrupt industries.

In May, then-labour minister Seamus O'Regan asked the industrial relations board to review whether a work stoppage would jeopardize Canadians' health and safety after the union voted overwhelming to approve a strike mandate.

(Market Chatter news is derived from conversations with market professionals globally, and/or from other media sources. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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