OTTAWA, ONTARIO, CANADA — The Teamsters Canada Rail Conference, which represents thousands of Canadian railway employees at Canadian National (CN) and Canadian Pacific Kansas City (CPKC), said its members have voted to strike as early as May 22.

The three worker groups, numbering 9,300 workers, each voted over 95% to authorize a strike, the union said. Contracts covering locomotive engineers, conductors and yard workers at CN and CPKC expired on Dec. 31, 2023, and the union is renegotiating a third agreement covering CPKC rail traffic controllers.

CN and CPKC are major shippers of grain, potash and coal across North America and a critical piece of the Canadian economy. Canada is a major exporter of wheat and canola.

Grain sales typically slow weeks ahead of a railway stoppage as shippers and exporters try to minimize costs for vessel wait times and contract penalties, Wade Sobkowich, executive director of Western Grain Elevator Association, which represents grain handlers including Cargill and Richardson International, told Reuters.

Paul Boucher, president of Teamsters Canada, said the sides have made no progress in six months of negotiations, adding that the companies were trying to remove rest provisions that are critical to safety.

CN said that the union has opposed moving toward a more modern agreement based on an hourly rate and scheduling changes and has focused instead on 200 local and regional demands.

CPKC said the parties remain far apart and now begin a mandatory 21-day period of federal mediation, and the company’s proposals for rest do not compromise safety and comply with Canadian regulations, Reuters reported.

In a separate labor matter, CN said the United Steelworkers (USW) Local 2004 formally ratified a three-year agreement on April 29. The USW represents approximately 2,500 track and bridge employees at CN, primarily responsible for track maintenance across Canada.