Making the trains run

Aug 23, 2024

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By Kyle Duggan and Nick Taylor-Vaisey

Thanks for reading Ottawa Playbook. Let’s get to it.

In today's edition:

→ Ottawa's new labor minister steps into the rail fray.

→ A progressive Canadian think tank takes notes in Chicago.

→ The cross-border business take on this year's RNC and DNC extravaganzas.

DRIVING THE DAY

TIME’S UP — Sixteen hours and 29 minutes.

That’s apparently how long the country can go without a functioning national rail network before the Liberal government announces it’s going to step in. Plus, y’know, a few minutes lag time, since urgent pressers organized in a rush are often also late.

Labor Minister STEVEN MACKINNON popped his head up in front of cameras late Thursday afternoon to announce the government's fix for the rail shutdown: Binding arbitration.

“Canadians must be assured that their government will not allow them to suffer when parties do not fulfill their responsibility to them at the bargaining table,” he told reporters.

NDP Leader JAGMEET SINGH called it a “cowardly, anti-worker” move. “Every employer knows they can get exactly what they want from JUSTIN TRUDEAU by refusing to negotiate with their workers in good faith,” he said.

— Start counting backward: Those comments are certain to spark speculation about the longevity of the confidence-and-supply agreement that’s keeping the Liberals in power. How much time before the next election do the dippers have to jettison the deal before they risk heading into a tough race handcuffed to the sinking Liberals … if any?

— Keep in mind: That doesn’t mean such a move would trigger an election.

— Mum’s the word: Notably quiet this week on rail strikes and back-to-work legislation: PIERRE POILIEVRE.

— Crunch time: MATTHEW HOLMES of the Canadian Chamber of Commerce, which is among the many business groups that heaped pressure on the Trudeau government to jump into action, tells Playbook the rail shutdown had landed at a bad time for many businesses.

Just before the big harvest bump. Just as rail traffic typically starts to surge in mid-August. Just ahead of the holiday season when retail wants shiny things on shelves.

“It's when a lot of goods flow into the country and out of the country. And we'll see a long tail on disruption, in terms of how long it takes for volume goods, for large goods, and for things that just can't be shipped by truck.”

— Plus that other trade thing: Kinda awkward timing given the trade-renegotiation charm offensive Canada is pushing south of the border.

“The message that our envoys and ‘Team Canada’ are trying to convey to the Americans is that Canada is integral to the prosperity and security of the United States,” said Carleton University professor FEN HAMPSON, who recently co-authored a review of the strategy that says the country needs to step up its game.

“When we have a major labor disruption like this, it sends a very strong signal to the Americans: You can't count on Canada.”

— What’s next: A technical process at the Canada Industrial Relations Board. MacKinnon believes the move will end the transportation crisis within a few days. CN ended its lockout last night while CPKC said it is readying to restart its railways.

— But, but, but: The Teamsters union, which has opposed binding arbitration, said it will leave its picket lines in place while it figures out its next steps.

Where the leaders are

— Prime Minister JUSTIN TRUDEAU is in the National Capital Region with no public-facing events.

— Deputy PM CHRYSTIA FREELAND is in Toronto with nothing public scheduled.

— Conservative Leader PIERRE POILIEVRE, Bloc Leader YVES-FRANÇOIS BLANCHET and NDP Leader JAGMEET SINGH have not shared itineraries.

— Green Leader ELIZABETH MAY is on vacation in British Columbia.

WHO'S UP, WHO'S DOWN

UP: U.S. Democrats' energy, following four days in a star-studded, high-octane Chicago hype machine.

DOWN: Confidence in Canadian supply chains.

2024 WATCH

Kamala Harris speaks at a lectern.

Kamala Harris pledged last night “to be a president for all Americans.” | Francis Chung/POLITICO

LESSONS LEARNED — Canada2020 is on the ground in Chicago.

BRAEDEN CALEY, the CEO of the progressive think tank, made the trip alongside executive chair TOM PITFIELD — a close friend of JUSTIN TRUDEAU and leading Liberal light on digital campaigning.

Playbook spoke over the phone with Caley, who spent several days taking meetings with Democratic Party officials and other think tanks visiting from abroad.

Caley, who attended the 2016 Democratic National Convention as a Liberal Party staffer, reflected on the political narratives and campaign themes that fired him up.

— Reclaiming patriotism: The sea of delegates hoisting "USA" signs were part of Democrats' deliberate effort to express American pride, Caley said, which bled into marquee speeches.

His takeaway: "They are not wanting to cede patriotism to the right."

People wave American flags during the last night of the Democratic National Convention.

Notes from the DNC: "They are not wanting to cede patriotism to the right." | Francis Chung/POLITICO

Caley thinks PIERRE POILIEVRE's opponents north of the border can learn from that approach: "The only way to answer a narrow nationalism or a more exclusive, fearful populism is with a positive, unifying patriotism."

→ The story last night via POLITICO's ELENA SCHNEIDER, HOLLY OTTERBEIN and EUGENE DANIELS: Harris embraces patriotism, savages Trump in acceptance speech.

— The F-word: Freedom was a recurring theme at the DNC.

"Many of us who grew up as kids in the GEORGE W. BUSH era would associate [freedom] with campaigns of the right," Caley recalls. Democrats are trying to flip the conversation, putting abortion and LGBTQ+ rights at the center of their campaign.

Poilievre has campaigned heavily on turning Canada into the "freest country on Earth." Caley says progressives would do well to “look at and learn” from the Dems.

→ By the way, here's our reporters' biggest takeaways from the DNC.

— Canada on the agenda: The first Canadian policy to come up in Chicago conversations with the Canada2020 duo? Canada’s federal child benefit, lauded for its impact on child poverty. Americans also wanted to talk about climate change and defense cooperation.

— Digital prowess: If the Obama campaign set a high bar for online engagement, Caley said, the Harris-Walz campaign is raising it.

He said the 2024 DNC was all about "maximizing audience and eyeballs and attention in an era of attention politics, and making this a convention that people can't look away from."

Caley gave targeted props to ROB FLAHERTY, Harris' deputy campaign manager (and 2023 Liberal convention speaker), and RYAN THOMPSON, the campaign's chief mobilization officer.

→ Idea copy/paste: Remember how Finance Minister CHRYSTIA FREELAND enlisted digital influencers to share an "insider glimpse" into this year's Budget Day?

At the DNC, content creators have a front-row seat. "Online creators are given the best seats in the house to take in the speeches … and amplify those ideas," Caley observed.

— Another Canadian in Chicago: Here's ALEX PANETTA of CBC News on the 3 P's from the Harris speech: Patriotism, personality, priorities.

— Related reading: BILL MORNEAU is in Chicago and offered this thought to VASSY KAPELOS: "We need to think about what really matters to Americans. We need to think substantively about our approach to defense."

HALLWAY CONVERSATION

CONVENTION-HOPPING — BETH BURKE is a Wisconsinite with the regional accent to match. Burke heads up the Canadian American Business Council, and she traveled to the RNC and DNC gatherings in Milwaukee and Chicago, respectively, with a purpose: To keep cross-border issues on the map.

Playbook got on the horn with Burke after the DNC hoopla. This conversation has been edited for length and clarity.

What stood out to you about the conventions?

My favorite thing about both conventions is that the Midwest really has had a moment to shine. The amount of text messages and phone calls I got about people falling in love with Milwaukee, and similarly, with Chicago, has been so heartwarming for me, because it's such an important and special part of the United States.

How easy is it to get Americans to talk about Canada at these conventions?

Any time I say what I do, they're like, "Oh, we love Canada." That's literally the first reaction. And then when you take it a step further, a lot of the conversation is, “Well, of course, we have to do this together.”

As protectionist as I think both countries can be, there is a constant awareness that neither country should really do it alone. The conversation really quickly pivots to all the things we need to do to work together — critical infrastructure, supply chain connectivity, all of that comes up very fast. I don't know that they're going to publicly speak on it from the podium, but in one-on-one conversations, it comes up very naturally.

Ambassador Kirsten Hillman greets Gov. Tim Walz in Chicago.

Ambassador Kirsten Hillman catches up with Gov. Tim Walz: "Always a pleasure." | @KirstenHillmanA

Canada's ambassador to the U.S., KIRSTEN HILLMAN, took a similar message to the conventions. How do your conversations differ from hers?

First of all, I'm an American, so there's probably a different level of candor with me. I'm also a former Hill staffer and a former administration official. I speak the same language, and there's just a little bit of an immediate comfort level.

We are sharing the same message, but I think sometimes what I receive back may be a little bit more blunt than a message received by a diplomat. I'm a business organization. We represent business, and bringing private partners to the table to help move the ball forward. That's a different conversation.

What's an example of a blunter message?

When there are frustrations or problems around trade irritants, the conversation tends to be "Well, you know how this goes," or "You know where we're coming from." I get a little bit less of the formal talking points, and more of, "This is the reality of where we are and how we have to navigate this."

Can you describe the energy at DNC or RNC conventions for Canadians who've never been in those rooms?

It is extremely contagious. The excitement, really from both conventions, is just palpable in the air. It's a little bit of an equalizer. Of course, elected officials have security, but they're walking around the floor and the party the same way anybody is. You're all equal when you're in that room. There's not a lot of wheeling and dealing, as much as celebrating and being together.

MEDIA ROOM

— The Globe's GEOFFREY YORK reports from Johannesburg that Canada’s new Africa strategy is expected to be unveiled by end of year.

— The National Post's CHRIS NARDI takes a walk down memory lane to 1973, when a rail strike inspired protesters to storm Centre Block.

— SUSAN DELACOURT's latest in the Toronto Star: "If Justin Trudeau really wants to be re-elected, there’s one question he needs to stop dodging."

— On “The Numbers” pod, ÉRIC GRENIER and PHILIPPE J. FOURNIER comb through a pile of August polls, including federal surveys and snapshots in four provinces.

PROZONE

For POLITICO Pro subscribers, our latest policy newsletter from KYLE DUGGAN.

In other news for Pro readers:

— Trump and Harris confront a trillion-dollar question over expiring tax cuts.

— Why the oil industry claims optimism at the Democratic convention.

— Antarctica threatened by far-flung pollution, invasive species.

— Former Rep. MIKE GALLAGHER joins Palantir.

PLAYBOOKERS

Birthdays: HBD to CHRIS EVELYN, chief of staff to Families Minister JENNA SUDDS, Sen. BEV BUSSON, former broadcaster and politician ISABEL BASSETT and former Liberal justice minister MARTIN CAUCHON.

Greetings also to ProPublica national reporter CRAIG SILVERMAN and former Canadian Association of Journalists president HUGO RODRIGUES.

Saturday: AK Strategies managing principal ANTHONY KOCH, government relations pro/Munk School student SYDNEY GRAD, retired Sen. LILLIAN EVA DYCK and former MP GORDIE HOGG.

Sunday: CIVIX CEO LINDSAY MAZZUCCO, Sen. PETER HARDER, former House of Lords member CONRAD BLACK (80!), and retired Sens. JACQUES DEMERS (also 80!) and LISE BACON (90!).

Got a document to share? A birthday coming up? Send it all our way.

Spotted: A Royal Air Force transport plane, flying over Ottawa Thursday on the way back to the U.K. (with a stop in Gander). Before its stop in YOW, the aircraft dropped in at CFB Greenwood in Nova Scotia — where the Red Arrows aerobatic team is launching a Canadian tour.

A pair of Snowbird jets — SNBD1 and SNBD4 — visible on flight-tracking websites Thursday afternoon, passing over the nation's capital as the team hopscotched across Canada in Nova Scotia's direction.

Several of the real-life inspirations for the smash-hit Come From Away, in Ottawa for opening night of a new production of the show — including CLAUDE ELLIOTT, the former mayor of Gander, N.L.

Noted: Maclean’s talks to TANYA TALAGA about her new book, “The Knowing,” out next week.

Movers and shakers: MELISSA CAOUETTE is lobbying for CKUA, an Edmonton-based community radio station facing a budget shortfall and looking to Ottawa for "increased operational funding and infrastructure upgrades." The station has also launched a letter-writing campaign.

The National Association of Career Colleges posted an August meeting with Immigration Minister MARC MILLER. The NACC wants the government to allow post-graduate students at private career colleges to apply for work permits, arguing the students are currently "disadvantaged and discriminated against."

TRIVIA

Thursday’s answer: The federal government once distributed a booklet called "11 Steps to Survival" in the case of a nuclear attack. You can still pick up a copy at the Diefenbunker museum's gift shop in Carp, Ontario. Step 1: "Know the effects of nuclear explosions."

Props to MARK AGNEW, MARCEL MARCOTTE, PATRICK DION, J. ROLLAND VAIVE, IAN GLYNWILLIAMS, NANCI WAUGH, JOHN MERRIMAN, JOHN MATHESON, GUY SKIPWORTH, DARRYL DAMUDE, MARC LEBLANC, BOOTS VAISEY, ALYSON FAIR, AMY CASTLE, ADAM ENKIN, KATE DALGLEISH, RALPH LEVENSTEIN, KEVIN BOSCH, DAN ALBAS, ROBERT MCDOUGALL, GORDON RANDALL, MALCOLM MCKAY and TRISTAN DENNISTON.

Skipworth shared a selection of Cold War-era planning documents circulated to an anxious country worried about nuclear catastrophe. One booklet included instructions on how to build a basement fallout shelter.

Former PM JOHN DIEFENBAKER even wrote a foreword in an early edition of "11 Steps."

Friday’s question: This weekend marks the 210th anniversary of which famous fire?

Answer to ottawaplaybook@politico.com

Correction: Thursday's Playbook misidentified provinces that haven't hosted recent federal Cabinet retreats. In fact, New Brunswick hosted the Trudeau government's first Cabinet retreat in January 2016.

Playbook wouldn’t happen without: POLITICO Canada editor Sue Allan, editor Willa Plank and Luiza Ch. Savage.

Want to grab the attention of movers and shakers on Parliament Hill? Want your brand in front of a key audience of Ottawa influencers? Playbook can help. Contact Jesse Shapiro to find out how: jshapiro@politico.com.

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