Bank of Canada Defends Use of Replacement Workers Amid Strike

Bank of Canada Governor Tiff Macklem defended the central bank's use of replacement workers during a strike by security officers in June. The workers, who are part of the Public Service Alliance of Canada (PSAC) union, had been on strike for four weeks after talks broke down over a new collective agreement.

Macklem said that ahead of the first ruling by the Canada Industrial Relations Board (CIRB), the bank made representations about the minimum necessary arrangements to ensure the security of its facilities and people. The CIRB ultimately ruled against the use of replacement workers, and the bank complied with the decision within the prescribed time period.

The bank had argued that it was necessary to put in place alternative arrangements due to acknowledged threats to the safety of people, facilities, and assets. Macklem emphasized that the exceptions to the rules allow for the use of replacement workers in situations where there are threats to life, health, or safety, or serious damage to property.

However, the PSAC union and the Canadian Labour Congress (CLC) have criticized the bank's actions, calling them a disregard for the board's orders. The CLC president, Bea Bruske, urged the federal government to make it clear that no federally regulated employer is above the law and that compliance with the Canada Labour Code is not optional.