Senators say changes to labour law could make Canada a more reliable trading partner

A group of senators is arguing Canada needs to overhaul its labour laws to avoid work stoppages in critical sectors if it wants to be seen as a reliable trading partner on the global stage.

The Senate Committee on Transportation and Communications released a report today arguing that recent strikes or lockouts at key Canadian ports and Canada’s two largest rail companies show the risk labour disruptions pose to the economy.

The report notes that the Liberals have increasingly leaned on Section 107 of the Canada Labour Code to scuttle work stoppages, but Sen. David Wells of Newfoundland and Labrador says that tool is a “hammer” that ought to be used sparingly.

The senators recommend instead new legislation to bring mediators into labour talks from the start when preventing a potential work stoppage is deemed to be in the national interest.

If talks still break down, the report proposes giving federal cabinet the power to order binding arbitration to prohibit a strike or lockout.

B.C. Sen. Duncan Wilson says the proposal represents a “reasonable limit” on the right to strike and would only apply to negotiations that have the capacity to shut down the economy if workers take to the picket line.

This report by The Canadian Press was first published June 11, 2026.

By Craig Lord | Copyright 2026, The Canadian Press. All rights reserved.