The deadline for a new labor deal for Canada's border agents is fast approaching, and with it the threat of a potential strike that could impact billions of dollars of trade.

The Canada Border Services Agency (CBSA) — made up of over 9,000 border workers — previously set a June 6 deadline to reach a collective bargaining agreement. If a deal hasn't been reached by then, CBSA agents will take part in "work-to-rule" action, since their status as essential workers prevents them from engaging in a full-on work stoppage.

"The clock is ticking," said Sharon DeSousa, the president of the Public Service Alliance of Canada (PSAC). PSAC is the larger union that represents the CBSA, along with tens of thousands of other public sector workers in Canada.

Although border agents would still technically be on the job, work-to-rule means they would only perform the minimum duties required of them, potentially bringing traffic at the border to a standstill. The last time the CBSA went on a work-to-rule strike in 2021, truckers reported hours-long delays at crossings. If a possible CBSA strike drags on long enough, it could also coincide with a separate strike from Canadian rail workers, which Reuters says could start as soon as mid-July.

PSAC and the CBSA started mediated negotiations with Canada's Treasury Board on June 3. The union is demanding higher wages that align with other law enforcement agencies in the country, as well as earlier retirement benefits.