REACTION: Ottawa is right to create a clear set of criteria for dispute resolution, says MEI

Montreal, September 21, 2026 – The changes to the Labour Code announced earlier today would be a good step in the right direction to protect Canadians from the indirect, yet heavy, effect of work stoppages in key industries, according to an MEI researcher reacting to today’s announcement.

“In many recent high profile work stoppages in Canada’s transportation sector, the heaviest toll was felt by companies, workers and consumers that weren’t party to them,” says Gabriel Giguère, senior policy analyst at the MEI. “By clarifying and codifying the criteria for the use of Section 107, Ottawa will be able to ensure swifter resolution, in cases where parties are too far apart.”

According to the backgrounder released by the government, C-39 would update Section 107 of the Canada Labour Code to codify a clear set of criteria and a mechanism for its use.

This could only be invoked following the publication of a report by a specially appointed mediator on the failure of mediation attempts, and when a work stoppage has or risks having significant national impacts.

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The MEI is an independent public policy think tank with offices in Montreal, Ottawa, and Calgary. Through its publications, media appearances, and advisory services to policymakers, the MEI stimulates public policy debate and reforms based on sound economics and entrepreneurship.

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