OTTAWA — Canada’s bilateral trade relationship with the United States was top of mind on Tuesday when federal Labour Minister Steven MacKinnon announced he’d invoked binding arbitration to squash job actions at Canada’s two largest ports.
MacKinnon said he couldn’t risk any further damage the labour disputes would do to Canada’s business image, signalling a renewed sense of urgency following Donald Trump’s victory in last week’s presidential election.
“(The labour disruptions) are impacting our supply chains… and our reputation as a reliable international trade partner,” MacKinnon said in defence of the federal action. “If these work stoppages go on… our well earned reputation for reliability will be put at risk.”
“I want to emphasize that there is a limit to the economic self-destruction that Canadians are prepared to accept,” MacKinnon told reporters in French.
MacKinnon deflected when asked by reporters about “pressures” he’s been feeling from south of the border and also declined to comment on Ontario Premier Doug Ford’s earlier suggestion that Canada cut Mexico out of its next round of trade talks with the U.S.
MacKinnon nevertheless made clear that he was focused on safeguarding Canada’s trade relationships, even if it meant taking a political hit from workers.
“There will be a debate about this,” acknowledged MacKinnon.
NDP Leader Jagmeet Singh was quick to fire off a statement excoriating both MacKinnon and his boss Prime Minister Justin Trudeau for the decision.
“Justin Trudeau is again making it clear to the ports CEOs and all big corporations — being a bad boss pays off,” said Singh, in the statement. “The Liberal government will always cave to corporate greed, and always step in to make sure the unions have no power.”
This marks the second time this year that MacKinnon has invoked binding arbitration to settle labour disputes, after ordering striking rail workers back to work in August.
Peter Graefe, a professor of politics and labour studies at MacMaster University in Hamilton, Ont., said that the spectre of Trump casts a long shadow over Ottawa.
“Clearly, the looming second Trump presidency is top of mind right now for pretty much all senior ministers,” said Graefe on Tuesday.
The twin shutdowns in Vancouver and Montreal ports stopped the flow of between $400 million and $800 million worth of goods per day, prompting questions about Canada’s reliability as a trade partner to the U.S. and other major economies.
Trump said during the campaign that he plans to renegotiate the CUSMA trade agreement with Mexico and Canada, which is up for review in 2026.
The president-elect has said he’ll seek new protections against the shipment of Chinese goods through ports in Canada and Mexico.
“They smuggle this stuff in. They don’t pay anything. We’re going to have very strong language on that,” said Trump during an October campaign event in Detroit.
National Post
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