Business & Finance

CN Rail forced to lay off employees as anti-pipeline protests continue

CN Rail is ceasing operations of its whole network east of Toronto due to ongoing anti-pipeline protests close to Belleville, Ont.

Sam Edwards High Level, Alberta
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On Thursday, an announcement was made by CN Rail that it is ceasing operations of its whole network east of Toronto due to ongoing pipeline protests close to Belleville, Ont. Eastern Canada staff are now being laid off as a result according to CBC News.

This comes after VIA Rail has cancelled over 400 trains throughout the country and has affected more than 83,000 passengers.

Blockades continue to cut off the main line and the Maritime provinces are taking the blow. The blockades have been put in place to show support for the Wet’suwet’en hereditary chiefs who are against the pipeline that is to be built in northern B.C.

According to CN Rail spokesperson, Alexandre Boulé the layoff notices have been sent to employees in Nova Scotia, Quebec, and New Brunswick.

“Our shutdown is progressive and methodical to ensure that we are well set up for recovery, which will come when the illegal blockades end completely,” said Boulé in an email.

Bruce Snow, a union spokesperson said that so far in Moncton, seven people have been temporarily laid off and three others have been laid off in Halifax. He noted that there are more to come.

“We do, however, anticipate a much larger impact should the blockades continue to reduce or shut down the CN eastern network.”

Executive director at the Atlantic Provinces Trucking Association, Jean-Marc Picard said that the impact started to be felt last week.

“Obviously if things keep up, we’re going to be even busier,” said Picard. He also noted that a single rail car does the work of three trucks.

“We can’t handle all the rail traffic that’s sitting there, it would be logistically impossible. But we’re certainly doing what we can to alleviate the impact on communities.”

Picard said that they are working to meet the needs but still have to meet their normal demands. Regulations in the industry also limit the amount of hours an employee can drive in a week and the company can’t do anything beyond these regulations.

“People don’t realize how crucial it is, transportation to communities. Whether it’s medical supplies, food, fuel,” noted Picard.

He also said that the backlog “will drag on for weeks and weeks” even if trains are back up and running by tomorrow.

On Sunday, Nathalie St-Pierre, the Canadian Propane Association president and CEO said that a shortage of propane will start to be seen in a matter of days.

“This is an emergency. People have to understand that, and those that are protesting have to understand that there needs to be resumption of the services,” She said.

“We haven’t seen any progress in terms of finding solutions now for the issues of getting the transportation to be back to normal. So it’s very troublesome.”

“Some industries can switch back to oil or other sources, but that’s also going to run out eventually.”

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