Full Breakdown
Bill C-39 Overhauls Federal Labour Code Amid Union Pushback
By Drooid · · How we work
Legislative Overhaul of Section 107
The Liberal government introduced Bill C-39, the Building Canada Strong Act, to amend Section 107 of the Canada Labour Code. The minister may then direct the Canada Industrial Relations Board (CIRB) to resume operations or impose binding arbitration, but only after the mediator’s assessment.
Background: Section 107 and Recent Controversies
Section 107 has long granted the responsible minister broad authority to “maintain or secure industrial peace.” Since 2024 the provision has been used to order striking workers back to work, notably the Air Canada flight-attendant strike, prompting court challenges on constitutional grounds. Jurisprudence such as the 2015 Saskatchewan Federation of Labour decision and 2024 Ontario Court of Appeal rulings affirm that any restriction on the right to strike must be narrowly tailored and paired with a meaningful dispute-resolution alternative, such as arbitration.
Scale of Labour Disruptions
Statistics released by Statistics Canada and cited on September 25, 2026 show that Canada lost 6.6 million person-days to labour disputes in 2023, the highest figure since 1986. The bulk of the lost days occurred in education, health, social services, and public administration—sectors where strike action is most common. OECD data from the mid-2000s places Canada behind only France and Belgium for work-stop frequency, underscoring the pressure on federally regulated services such as rail, ports, airlines, and the postal system.
Government Rationale and Official Statements
Prime Minister Mark Carney framed the reforms as essential to “building Canada strong” and protecting both workers and the national economy. Jobs Minister Patty Hajdu emphasized that the special-mediator report will give unions “new leverage” by making bargaining dynamics public and holding employers accountable for bad-faith conduct.
Union and Indigenous Opposition
The Canadian Labour Congress (CLC) president Bea Bruske condemned the bill, stating that it gives the government and that “a right you cannot exercise is not a right.” The CLC warned that the legislation could incentivize employers to wait for government intervention rather than compromise.
Conflicting Views on the Right to Strike
Labour law scholar Andrea Talarico predicts the issue will reach the Supreme Court, noting that the open-ended ministerial power may still conflict with constitutional protections. This divergence creates a legal and political impasse that will likely shape future court battles.
Verbatim Quotes
- “It's meant to provide, first of all, another tool to parties to understand what the dynamics are and why they're struggling to get to that deal,” — Patty Hajdu, jobs minister
- “ "This bill gives government the new and expanded power to end a legal strike when it decides the strike is, or could be, against the national interest," Bruske said.” — Bea Bruske, labour congress president
- “We've been very clear that we would focus on what we can control, and first and foremost is building at home, building Canada strong, building in a way that builds for all,” — The Carney, prime minister
- “A decision delayed is a project denied,” — The Carney, prime minister
- “A right you cannot exercise is not a right,” — Bea Bruske, labour congress president
- “The legislation directly targets two longstanding barriers to Canada's prosperity: slow and unpredictable project approvals and labour instability affecting critical supply chains,” — Adam Legge, the president of the Business Council of Alberta