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You are at:Home » Feds set to make major changes to Canada’s labour code
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Feds set to make major changes to Canada’s labour code

By favofcanada.caSeptember 20, 2026No Comments5 Mins Read
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The Liberal government is expected to propose major changes to Canada’s labour code as MPs return to Parliament Hill for the fall sitting this week.

One of the first bills to be presented would change the Canada Labour Code to alter the government’s power to intervene in strikes and lockouts.

Government House Leader Steven MacKinnon told reporters recently the focus is not on preventing the right to strike.

“What we want to do is make achieving collective agreements easier,” he said. “We want to put federal resources at the disposition of those parties and, you know, really rare cases where we have chronic problems.”

The change is expected to affect Section 107 of the labour code, a tool that in recent years has been used to stop or curb work stoppages in key industries.

Last summer, Jobs Minister Patty Hajdu used the section to order binding arbitration hours after Air Canada flight attendants hit the picket line, referring the dispute to the Canadian Industrial Relations Board.

Flight attendants ignored the order and stayed on strike until a deal was reached days later.

Hajdu said on Saturday no government wants to intervene in a strike and gave few details about plans to amend the code, adding the government already has the power to intervene.

“The point is to reduce the times that the government is forced to solve the problem for employers and unions,” she said.

Unions and business leaders have spoken out about the section.

Bea Bruske, president of the Canadian Labour Congress, said the right to strike is in the national interest.

“Any new power to prevent or shut down a legal strike, including before it begins, would weaken that power. Canada needs workers with our elbows up, not our hands tied,” Bruske said in a statement.

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Derrick Hynes, CEO of Federally Regulated Employers-Transportation and Communications, said changes must include tools that would help avoid what he called “catastrophic” labour disruptions.

“The inclusion of a neutral, third-party special mediator who can provide a public report on bargaining and inform government actions would be a significant step forward,” he said.

MacKinnon, Hajdu, and Dominic LeBlanc, the minister responsible for Canada-U.S. Relations, are expected to hold a joint media conference Monday. According to a news release, the ministers will speak about legislation to be introduced “that will build Canada strong.”

Prime Minister Mark Carney said on Friday that the “Building Canada Strong Act” will speed up approval of new federal projects.

“One project, one review, one year,” Carney told reporters.

It was unclear if the changes to the labour code will be in the bill, though MacKinnon hinted “improvements” to the code were on the agenda.

A busy fall

It’s not only the labour code changes or speeding up federal projects on the agenda this fall.

The Carney government’s second budget is expected within the next few months. Carney told investors during last week’s investment summit his government plans to balance the operating budget next year, 12 months ahead of schedule. He provided few other details on what to expect.


Debate is expected to continue on legislation including Bill C-22, the lawful access bill, which remains before the Senate.

A bill that would regulate AI chatbots and restrict social media access for kids under 16 is also before the House.

Carney is also expected to face more questions about failed trade talks with the U.S. after the prime minister called back his negotiators last month at the eleventh hour before 50 per cent tariffs by the Trump administration were set to take effect.

Conservative Leader Pierre Poilievre has called on Carney to release details of the deal the government walked away from, which the prime minister said included touchpoints around the auto sector and French language that prompted the departure from the negotiating table.

More recently, the Opposition has also urged Carney to hold a debate after the European Union and the prime minister announced a proposed alliance. Carney said the deal will come to Parliament for a debate and vote, but Poilievre has insisted Canada should not import what Conservatives describe as bad European policies on issues such as immigration and taxes.

More byelections

While it won’t be until at least October, Canadians in multiple provinces could be heading to the polls again later this fall as six seats sit vacant.

Saskatchewan MP Cathay Wagantall, Shaun Chen and Larry Brock in Ontario, and Steven Guilbeault, Alexandre Boulerice and Simon-Pierre Savard-Tremblay in Quebec all resigned from their seats in recent months.

A byelection must be held within six months of a seat becoming vacant. The seats in Quebec were vacated between June and August, but due to the Oct. 5 provincial election, it’s unlikely those federal byelections will take place before Quebecers head to the polls.

—with files from The Canadian Press

&copy 2026 Global News, a division of Corus Entertainment Inc.

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