Commonwealth_ Canada Industrial Relations Board (CIRB) has rejected the Canadian Union of Postal Workers’ (CUPW) contention that a government-issued back-to-work order was unconstitutional. The decision came after the federal Labour Minister Steve MacKinnon invoked Section 107 of the Canada Labour Code, directing CIRB to terminate the postal workers’ strike and arbitrate the labour dispute.
The union of postal workers had also pointed out that the imposition of Section 107 intruded into the constitutional rights of the unionised employees, in this case, the Charter-entrenched right to free collective bargaining of the employees. The union had asserted that compelling workers to work without full parliamentary debate or consultation detracted from the democratic process and denied them effective labour negotiations.
The three-member CIRB panel ultimately rejected the union’s appeal, but one member did dissent. Member Paul Moist crossed the floor with the union and criticised the minister’s action as an abuse of executive authority. In Moist’s view, the application of Section 107 in this manner short-circuited Parliament and meddled with workers’ right to strike and had conveyed a warped message for labour relations in federally regulated industries going forward.
The latter, in reaction to the CIRB decision, brought a judicial review, which remains pending with the federal court. The CIRB, for its part, issued its decision to the parties involved on August 13, 2025, and also made it public once an official translation was conducted.
The case relit the controversy surrounding the use of Section 107, which establishes the jurisdiction for the intervention of the federal government in labour disputes involving federally regulated employers and employees. Since its implementation in 1984, the section had been relatively dormant, but under the Liberal government, its use has become increasingly frequent in recent years. Analysts opine that continued intervention under Section 107 discourages the unions and the employers from bargaining in good faith, undermining the bargaining process over the long run.
Back-to-work ordering for postal workers is a trend of government intervention in labour disputes in major national industries. Past applications of Section 107 have directed the issuance of injunctions in labour disputes among Air Canada flight attendants, Montreal and Vancouver harbour workers, and the country’s two largest railway lines. In the case of Air Canada, the then Minister of Labour directed workers to return to work within days of the commencement of the strike, although the union initially defied the order on the grounds that government interests predominated over workers’ rights.
Unions also contend that recurring reliance on Section 107 is a foreboding precedent in the sense that it hinders the freedom of employees to strike and entails the government taking sides in labour conflicts for political or economic expediency. It is argued that the instrument, if abused, will erode the bargaining power of unions and safeguard labour within federally regulated industries like transport, communications, and postal services.
Apologists for the government move observe that Section 107 may be a measure that was required to avert the long-term interruption of essential services with a potential impact on the public and national economies. In Canada Post’s instance, the intervention was to maintain mail service and avert further economic and logistical costs of a protracted strike.
The CIRB decision, which reaffirms the executive’s jurisdictional authority to intervene in strikes under the Canada Labour Code and entrenches the centuries-old conflict between executive power and workers’ constitutional rights, is a significant chapter in the history of Canadian labour relations. Lawyers say that the pending judicial review could further define the limits of government intervention and the enforcement of labour rights under the Charter.
Strikes continue to plague federally regulated industries, ensuring a persistent demand for a balance between the public interest and employees’ rights. The outcome of the judicial review and ongoing debate on the operation and potential revision of Section 107 will map the future direction of Canadian labour relations policy for generations to come.
