ONTARIO-The complete shutdown of Canadian National Railway (CN) and Canadian Pacific Kansas City (CPKC) operations will have a massive impact on Canada’s economy, small businesses and consumers, warns the Canadian Federation of Independent Business (CFIB).
CFIB says it has already been hearing from businesses concerned about not getting essential shipments of aviation gas for forest fighting equipment, manufacturing inputs, vehicle parts, retail products, and agricultural equipment.
Not only will the work stoppage negatively affect shipments of raw materials and goods essential for small business operations, but it could also lead to a decreased on-shelf availability of consumer products, including grocery and drugstore essentials and even baby formula. Thousands of commuters in Canada’s three biggest cities will be affected as well. Some small businesses are already reporting they will need to halt operations as they will no longer be able to receive critical inputs or meet their contractual obligations to customers according to CFIB.
Trucking capacity is already strained and shipments are now stuck in the system, many businesses are already very weak due to increased post-pandemic debt, weak demand and dramatically higher operating costs.
“We’re calling on the federal government to intervene immediately by introducing binding arbitration or enacting back-to-work legislation. Longer term, Canada needs a better way of addressing labour disputes for critical supply chain industry players.: said Dan Kelly, President and CEO, CFIB
The Canadian Federation of Independent Business (CFIB) is Canada’s largest association of small and medium-sized businesses with 97,000 members across every industry and region. CFIB is dedicated to increasing business owners’ chances of success by driving policy change at all levels of government, providing expert advice and tools, and negotiating exclusive savings. Learn more at cfib.ca.
