news

According to a report by CNBC, ports along the western coast of the United States are facing closure due to a labor force no-show after negotiations with port management failed. Oakland port, one of the busiest ports in the United States, ceased operations on Friday morning due to a lack of dock labor, with the work stoppage expected to extend at least through Saturday. An insider source told CNBC that the stoppages could ripple across the West Coast due to protests over wage negotiations amid inadequate labor force.

“By Friday’s early shift, Oakland Port’s two largest maritime terminals – the SSA terminal and TraPac – were already closed,” said Robert Bernardo, a spokesperson for the Port of Oakland. While not a formal strike, the action taken by the workers, refusing to report for duty, is expected to disrupt operations at other West Coast ports.

Reports indicate that the Los Angeles port hub also halted operations, including Fenix Marine and APL terminals, as well as Port of Hueneme. As of now, the situation remains unstable, with truck drivers in Los Angeles being turned away.

Labor-Management Tensions Escalate Amid Contract Negotiations

The International Longshore and Warehouse Union (ILWU), the union representing the workers, issued a scathing statement on June 2 criticizing the conduct of shipping carriers and terminal operators. The Pacific Maritime Association (PMA), which represents these carriers and operators in negotiations, retaliated on Twitter, accusing the ILWU of disrupting operations across multiple ports from Southern California to Washington through “coordinated” strike action.

ILWU Local 13, representing about 12,000 workers in Southern California, harshly criticized shipping carriers and terminal operators for their “disrespect for basic health and safety requirements of workers.” The statement did not detail the specifics of the dispute. It also highlighted the windfall profits the carriers and operators made during the pandemic, which “came at a great cost to the dockworkers and their families.”

Negotiations between ILWU and PMA, which began on May 10, 2022, are ongoing to reach an agreement that would cover more than 22,000 dockworkers across 29 West Coast ports. The previous agreement expired on July 1, 2022.

Meanwhile, PMA, representing port management, accused the union of engaging in a “coordinated and disruptive” strike action that effectively shut down operations at several Los Angeles and Long Beach terminals and even impacted operations as far north as Seattle. However, ILWU’s statement suggests that port workers are still on the job and cargo operations continue.

The executive director of the Port of Long Beach, Mario Cordero, reassured that the container terminals at the port remain open. “All container terminals at the Port of Long Beach are open. As we monitor terminal activity, we urge the PMA and ILWU to continue negotiating in good faith to reach a fair agreement.”

The ILWU’s statement did not specifically mention wages, but it did reference “basic requirements,” including health and safety, and the $500 billion in profits that shipping carriers and terminal operators have made over the past two years.

“Any reports of a breakdown in negotiations are incorrect,” ILWU President Willie Adams said. “We’re working hard at it, but it’s important to understand that West Coast dockworkers kept the economy running during the pandemic and paid with their lives. We will not accept an economic package that fails to recognize the heroic efforts and personal sacrifices of ILWU members who have enabled record profits for the shipping industry.”

The last work stoppage at Oakland port occurred in early November, when hundreds of staff members resigned over a wage dispute. The halt of any container terminal operations would inevitably set off a domino effect, impacting truck drivers picking up and dropping off cargo.

Over 2,100 trucks pass through the terminals at the Port of Oakland each day, but due to the labor shortage, it is predicted that no trucks will pass through by Saturday.