About 700 B.C.-based workers at Finning International Inc. went on strike at 4 p.m. on June 22.
The move came as a surprise, despite the company (TSX:FTT) notifying media June 20 that its union had the legal right to strike.
Finning’s vice-president of investor relations and corporate affairs, Mauk Breukels, told Business in Vancouver on June 20 that unionized workers were entitled to strike as of 2 p.m.
He then called it “very unlikely” that a strike would happen immediately.
“We’ve got talks scheduled,” Breukels told BIV at the time. “We don’t comment on the timing of those talks but we’re hoping that we can bring this to a satisfactory conclusion.”
Despite the International Association of Machinists and Aerospace Workers’ strike action, Breukels believes that his Vancouver-based company will not suffer a severe impact because most of its operations are based outside B.C.
"We have significant business in Western Canada but most of that is from Alberta," Breukels said.
"Our oilsands parts distribution, the centre of excellence where we rebuild large equipment, the remanfuacturing centre for large components - that is all [in Alberta]," he said.
Disruption is also likely to be comparatively minor given that Finning moved the head office for its Canadian subsidiary, Finning Canada, to Edmonton in 1997 as part of the company’s preparations to sell 26.5 acres of land along Great Northern Way in Vancouver to make way for the Great Northern Way Campus.
Its operations in South America are managed out of Santiago, Chile.
Breukels said a strike in B.C. would also not have a major impact on Finning business in the U.K. or Ireland.
Finning is the world's largest distributor of heavy equipment made by the U.S.'s Caterpillar Inc. (NYSE:CAT).
Glen Korstrom
Twitter: GlenKorstrom