Liberals looking to give minister explicit authority to end strikes: sources

The Liberal government's marquee fall legislation is expected to strengthen a controversial section of the Labour Code, two senior government sources tell CBC News.

The Carney government plans to amend the Canada Labour Code to explicitly allow the minister responsible to direct the Canada Industrial Labour Relations Board (CIRB) to end work stoppages and order arbitration.

Changes to Section 107 of the Labour Code are expected to be part of the Carney government's bill, set to be called the Building Canada Strong Act and tabled next week.

"We will have very significant economic legislation as a centrepiece for this session," said Government House leader Steve MacKinnon on Friday ahead of a two-day Liberal caucus retreat.

Economic legislation will be 'centrepiece' of fall sitting, says MacKinnon

The changes to Section 107 will codify a power the government already has and uses: the ability to end a strike and take over arbitration of a labour dispute by directing it to the CIRB. However, sources say writing it into law could increase private sector confidence, as Ottawa seeks to reassure that Canada is a safe place to invest.

The sources say the focus is on "high-potential disruptive labour issues" in industries that have serious implications for Canada's exports, like ports and railways.

Two senior government sources shared some details of the legislation, expected to include sections on trade corridors, collective bargaining and proposals to speed up federal project approvals. CBC News is not naming the sources because they were not authorized to speak publicly.

The section of the law, which has been on the books since 1984, was rarely used until recently, when the Liberals under Prime Minister Justin Trudeau used it to end disputes including between the Teamsters union and Canada's two largest railway companies, as well as other instances, including sending employees back to work at ports in Montreal and Vancouver.

Jobs and Families Minister Patty Hajdu invoked Section 107 to force Air Canada flight attendants back to work after they walked out in August 2025.

The federal Liberals have increasingly used the once-obscure section of the legislation to force picketing workers back on the job.

Unions warn Carney government considering sweeping changes to labour law

However, unions contend that this heavy-handed use of the law undermines their ability to bargain and violates workers' rights. The move has been challenged in Federal Court.

The new measures will also empower the labour minister to appoint a "special mediator" who will issue a report in instances where unions in federally regulated industries can't come to an agreement with the employer.