Canada’s border agents will not strike on Friday, as labor talks for a new contract deal were extended until at least the middle of next week.
The job action, which was originally set to begin at 4 p.m. EST Friday, was put on hold after mediated talks were extended to Wednesday, the Public Service Alliance of Canada and the Customs and Immigration Union said in an emailed statement.
The group represents more than 9,500 border agents and agency staff members employed by the Canada Border Services Agency. Meanwhile, the Treasury Board of Canada Secretariat handles negotiations for the Canadian government.
The Canadian government in a statement Friday said discussions have been productive and is pleased the union remains committed to continuing talks until a deal is reached.
The union and Canadian government began mediated negotiations Monday to negotiate a new contract, something the border agents in the country have been without the last two years. Pressure intensified on May 24 after the union announced a majority of its members authorized a strike which at that time could have started as soon as June 6.
Because border agents are deemed essential workers, the country’s border would not have been closed, even in the event of a strike. If a strike occurs, shippers trucking freight between the U.S. and Canada would face longer processing times and traffic back-ups at more than two dozen border crossings.
A strike by Canada’s border agents at the start of the weekend would have meant a massive disruption during one of the busiest times for northbound freight heading into the country, Mike Burkhart, VP of North American Surface Transportation at C.H. Robinson Worldwide, said in an email to Supply Chain Dive on Friday. The brokerage manages more than 650,000 shipments across the Canadian border annually.
“A typical length of haul is 500 to 700 miles, and carriers are hitting the border with return loads at the end of the week to either drop off at their yard or for Monday delivery,” he said. “A strike or work slowdown at that time would have an immediate impact.”
Burkhart said C.H. Robinson moves an assortment of products, including paper, plastics, lawn mowers, tools, electronics, food and beverages. He said perishables would be at risk in the event of a strike.
The agriculture industry is especially reliant on trucks for timely shipments, particularly for shorter hauls. While shippers could choose to move some less sensitive freight to rail, a potential strike facing Canada’s top railroads has complicated potential workarounds.
“For our retail customers, anything that doesn’t reach a shelf means lost sales,” Burkhart said. “But it’s especially those manufacturers that rely on just-in-time delivery that face a challenge.”
Sarah Zimmerman contributed to this story