‘Nothing coming in, nothing going out:’ Businesses warn of layoffs as B.C. port workers strike carries into second week

Vancouver—As a port workers strike carries on for its second week, the effects of the labour dispute are starting to be felt on the ground, according to the Canadian Chamber of Commerce.

Robin Guy, vice-president and deputy leader of government relations at the chamber, said he’s heard rumblings of employers taking drastic measures to deal with the disruption.

“We’ve got members who are right now talking about having to possibly lay people off temporarily just based on warehouse capacity being at its peak,” Guy said. “Nothing coming in and nothing going out, which means they have to stop producing.”

More than 7,000 members of the International Longshore and Warehouse Union have been on strike since July 1 at more than 30 terminals in B.C., a dispute affecting the vast majority of terminals in the province owned by members of the BC Maritime Employers Association.

Talks hit an impasse in late June after months of failed negotiations, with wages, automation and contracting out as the major sticking points, according to a release from the union.

Cruise ship and grain terminals are still operating while railways have put embargoes on goods travelling through the port. The Port of Vancouver has lifted maximum stays for ships in Vancouver’s English Bay to accommodate the growing backlog.

The port said in a statement that $1 of every $3 of Canada’s goods traded outside of North America goes through it, “so any disruption to port operations has a significant impact globally and on Canadians.”

Last week, the two sides stopped speaking altogether but made it back to the negotiating table over the weekend with government mediators present. Federal Labour Minister Seamus O’Regan has urged the two sides to come to an agreement.

Sunday, hundreds rallied in support of the workers in Vancouver. Pat Bolen, vice-president of the International Longshore and Warehouse Union, took a shot at the employers’ use of contract workers, which has been a point of contention in the negotiations.

“Now what we’re seeing is contractors that have no skin in the game, coming in and stealing our lunch. What happens when somebody steals your lunch? You get angry,” he told the rally.

Guy, meanwhile, has accused politicians of “dithering” and said the government must force a deal if one can’t be reached.

“We’ve really got to get this figured out,” he said. “It’s extremely alarming.”

Neither side would comment Monday, but over the weekend the BC Maritime Employers Association issued a release detailing some of the commitments it made to the union, including increased benefits for casual workers, increasing apprenticeships by at least 15 per cent and creating a tool allowance for workers.

Maintenance has also been an issue, with the BC Maritime Employers Association addressing it in the release. The union insists its members should be tasked with repairing new, automated machinery if it breaks.

The association committed to improved training and creating binding industry guidelines, among other points.

But the BC Maritime Employers Association said the union had rejected the measures and was insisting on a contract expanding their jurisdiction at the port beyond what it has been for decades.

At Sunday’s rally, International Longshore and Warehouse Union International president Willie Adams encouraged workers from around the world to meet ships in their ports and let them know they are united with Canadian strikers.

“They think they can take the ships to Tacoma, Seattle, Oakland, L.A. — ain’t happening, ain’t happening,” he said to loud cheers.

Adams told CNBC last week that members from his U.S. West Coast chapter of the union will not be unloading Canadian-bound cargo in solidarity with striking workers in Canada.

Meanwhile, supply chain experts have expressed concern about the effects of the port strike on industry and retail goods. One area of concern is automobiles usually shipped in from Japan if the strike is prolonged.

Last week, Fraser Johnson, a supply chain expert at the Ivey Business School at the University of Western Ontario, warned the stalled imports could lead to higher used car prices.

With files from The Canadian Press

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