Forwarders slam Canadian government 'late intervention' in port strikes
Forwarders have lambasted the Canadian government for its “late intervention” in the stand-off between dockers ...
MAERSK: LITTLE TWEAKDSV: UPGRADEF: HUGE FINELINE: NEW LOW WTC: CLASS ACTION RISK XOM: ENERGY HEDGEXPO: TOUR DE FORCEBA: SUPPLY IMPACTHLAG: GROWTH PREDICTIONHLAG: US PORTS STRIKE RISKHLAG: STATE OF THE MARKETHLAG: UTILISATIONHLAG: VERY STRONG BALANCE SHEET HLAG: TERMINAL UNIT SHINESHLAG: BULLISH PREPARED REMARKSHLAG: CONF CALLHLAG: CEO ON TRADE RISKAMZN: HAUL LAUNCH
MAERSK: LITTLE TWEAKDSV: UPGRADEF: HUGE FINELINE: NEW LOW WTC: CLASS ACTION RISK XOM: ENERGY HEDGEXPO: TOUR DE FORCEBA: SUPPLY IMPACTHLAG: GROWTH PREDICTIONHLAG: US PORTS STRIKE RISKHLAG: STATE OF THE MARKETHLAG: UTILISATIONHLAG: VERY STRONG BALANCE SHEET HLAG: TERMINAL UNIT SHINESHLAG: BULLISH PREPARED REMARKSHLAG: CONF CALLHLAG: CEO ON TRADE RISKAMZN: HAUL LAUNCH
UPDATED TO INCLUDE ILA’S LATEST STATEMENT 30.09.24
The port of Montreal and gateways along the east and Gulf coasts of the US are facing strikes set to severely disrupt North American supply chains.
Yesterday, the US ILA confirmed that its members at all Atlantic and Gulf coast ports – “from Maine to Texas” – will strike from midnight tonight.
The IAL put out another statement earlier today blaming the USMX for the strike.
“[The] United States Maritime Alliance (USMX) continues to block the path toward a settlement on a new Master Contract by refusing ILA’s demands for a fair and decent contract and seems intent on causing a strike at all ports from Maine to Texas beginning in almost 12 hours.
“The Ocean Carriers represented by USMX want to enjoy rich billion-dollar profits that they are making in 2024, while they offer ILA Longshore Workers an unacceptable wage package that we reject.
“ILA longshore workers deserve to be compensated for the important work they do keeping American commerce moving and growing. It’s disgraceful that most of these foreign-owned shipping companies are engaged in a ‘Make and Take’ operation: They want to make their billion-dollar profits at United States ports, and off the backs of American ILA longshore workers, and take those earnings out of this country and into the pockets of foreign conglomerates. Meanwhile, ILA dedicated longshore workers continue to be crippled by inflation due to USMX’s unfair wage packages. “
The ILA also put out some figures that The Loadstar was unable to verify, including a claim that a full container now costs $30,000. “It’s unheard of and they are doubling their $30,000 fee stuffing the same container from multiple shippers. They are killing the customers,” added the ILA.
The ILA said tens of thousands of dockworkers and maritime workers would hit the picket lines at 12:01 am on Tuesday, 1 October.
“United States Maritime Alliance (USMX) refuses to address a half-century of wage subjugation where ocean carriers’ profits skyrocketed from millions to mega-billion dollars, while ILA longshore wages remained flat.”
It did not release the locations of protests or pickets.
The strike will affect about 36 major ports and about 70% of all containerised US exports, and roughly 56% of US imports, valued at some $588bn in 2023.
It’s estimated that for each day the ports are shut, recovery time will be one week. In a warning to customers, Seko Logistics said that warehouses and transportation hubs will face delays but may be manageable in the short term, but that trucking and rail would be “heavily impacted and would lead to higher costs and longer delays”.
Last week, employer association USMX filed a charge with the National Labor Relations Board (NLRB), in a bid to resume negotiations with the ILA.
Meanwhile, in Canada, over the weekend the CUPE Local 375 union said two Termont terminals (Viau and Maisonneuve) would not reopen today and stay closed until Thursday 3 October at 6.59am.
Canada’s Maritime Employers’ Association (MEA) said yesterday it had “tried all possible means of averting tomorrow’s planned strike … but to no avail”.
It added: “The MEA’s efforts through mediation, supported by the Federal Mediation and Conciliation Service, and at an emergency hearing this afternoon at the Canada Industrial Relations Board, did not bear fruit.
“The MEA had sincerely hoped to find common ground between the parties so that we could maintain operations. We are thus disappointed with this outcome.
“The MEA’s priority remains the conclusion of a negotiated collective agreement within the briefest possible delay.”
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