The St. Lawrence Seaway has shut down after negotiations between the union and employer failed to reach a deal by the deadline on Sunday, sending hundreds of workers on strike.
The halt in work will have immediate effects on cargo ships between Montrael and Erie Lake.
In a statement released shortly after midnight on Sunday, the union representing Seaway workers said that it was unable to reach an agreement with the employer by the strike deadline despite negotiations going “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,” said Daniel Cloutier, Unifor’s Quebec director, in a release.
The key wedge in discussions is said by the union to be wages, with which it says it remained “1,000 nautical miles apart” from management.
The union says it was up to the employer to avoid any transit disruptions
“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 wellbeing of seafarers and their cargo. They are irreplaceable,” Cloutier said in an earlier release.
In its own statement released just after the deadline, the St. Lawrence Management Corporation said that the delays are due to Unifor continually insisting on wage increases inspired by automotive-type negotiations,” and the Seaway will remain shut down until an agreement can be reached.
“The stakes are high, and we are fully dedicated to finding a resolution that serves the interested of the Corporation and its employees,” stated SLSMC president and CEO Terence Bowles.
“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.”
The SLSMC said Friday it was committed to negotiating in good faith, but that progress was slow and the union’s demands for higher wages could lead to higher tolls.
On Wednesday, it cited potential impacts 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 spokesman 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 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.
The five union locals in negotiations are comprised of some 360 workers running from engineers to administrators.
Talks first 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, around $16.7 billion worth of cargo — nearly half of it grain and iron ore — passed through the St. Lawrence Seaway, a system of locks, canals and channels that stretches more than 300 kilometres.
With files from the Canadian Press
