'The government is asking the wrong question,' says president Bea Bruske amid Canada Labour Code amid consultations
The Canadian Labour Congress (CLC) is warning federally regulated employers that a second round of Canada Labour Code consultations could entrench, rather than eliminate, the labour minister's power to end lawful strikes.
The CLC's second submission to the Code review renews its call to repeal section 107, the provision allowing the labour minister to order employees back to work or refer disputes to binding arbitration.
The particular section reads: “The Minister, where the Minister deems it expedient, may do such things as to the Minister seem likely to maintain or secure industrial peace and to promote conditions favourable to the settlement of industrial disputes or differences and to those ends the Minister may refer any question to the Board or direct the Board to do such things as the Minister deems necessary.”
The CLC argues Ottawa has used the power repeatedly to cut short legal strikes and lockouts at federally regulated employers, including railways, ports and airlines.
"The government is asking the wrong question," CLC President Bea Bruske said in the submission. "You don't fix a problem by writing a manual for it. The federal government has repeatedly used section 107 to undermine free collective bargaining. The answer isn't to codify that power. It's to repeal it."
The CLC said the government's current consultation approach asks how the intervention power should be preserved rather than whether it should exist, and pointed to this week's resolution of a WestJet labour dispute as evidence collective bargaining works when left alone. "Even difficult disputes can be resolved through negotiation when governments allow the bargaining process to run its course," the CLC said.
With the number of worker strikes in Canada rising — including the one by WestJet workers — the Federally Regulated Employers - Transportation and Communications (FETCO) recently called on Ottawa to amend the Canada Labour Code to create a special mediator role for high-stakes labour disputes.
Consultation on Canada Labour Code
In July, the federal government launched further consultation “on how to best maintain a balanced approach to industrial peace and dispute resolution,” building on comments from unions and employers in the previous consultation.
The questions the government posed:
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The consideration of industrial peace is already included in Section 107. Should there be further guiding principles governing the use of Section 107? If so, what would these further guidelines look like?
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Could such guiding principles include considerations such as the broader public interest (e.g., the magnitude of economic or social impacts), the input of an independent assessment or reporting to public about an impasse / breakdown of negotiations despite all available mediation efforts, or the length of time of a dispute?
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Should clarity or further definition be given to "industrial peace” as it is currently included in the Code? If so, what would that look like?
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Please identify any tools that aim to accomplish the objective of maintaining industrial peace as an alternative to the kind of powers contained in Section 107 of the Code. Are there examples from other jurisdictions?
Broader reform package
Beyond section 107, the CLC's submission calls for expedited grievance arbitration and stronger dispute-resolution mechanisms for first collective agreements, changes that could alter timelines HR teams currently build into labour relations planning. It also urges tougher enforcement against wage theft and employee misclassification.
The submission additionally calls for stronger protections for paid medical leave, a provision with direct compliance implications for employers administering benefits under the federal jurisdiction. The CLC has not specified proposed enforcement mechanisms or timelines for these reforms.
The CLC cited national polling it commissioned showing what it called overwhelming public support for labour protections and workers' right to a meaningful voice at work. "Canadians understand that strong worker protections make Canada stronger," the CLC said. "This review should strengthen those rights, not look for new ways to weaken them." The federal government has not indicated when the review will conclude.
In June, the Canadian Federation of Independent Business (CFIB) called on the federal government to prioritise supply chain stability in any reforms to the Canada Labour Code.
