Union members at Canadian National Railway (TSX: CN) and Canadian Pacific Kansas City (TSX: CP) railways have overwhelmingly voted to reauthorize strike action, potentially disrupting supply chains across Canada. The vote, with nearly 99% in favor, comes as negotiations for new collective agreements remain unresolved.

Teamsters Canada, representing the railway workers, conducted this second strike vote after the initial 60-day authorization expired. The union cites concerns over proposed changes to crew schedules, work hours, and fatigue management policies.

CN has called for the union to return to negotiations and accept binding arbitration to reach an agreement. Meanwhile, CP awaits a decision from the Canada Industrial Relations Board (CIRB) regarding maintenance activities during a potential work stoppage.

The timing of any potential strike remains uncertain. CP has said that a work stoppage is unlikely before mid-July, and both parties must provide 72 hours’ notice before initiating a strike or lockout. The company has also requested a 30-day cooling-off period following the CIRB’s decision to allow stakeholders time to prepare.

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