Canada West Coast Ports Face Looming Labor Strike

Article by: Rick Walker, Vice President, TradeInsights, LCB, CCS

On the heels of the settlement of the U.S. West Coast labor dispute, International Longshore & Warehouse Union Canada workers have authorized a strike beginning July 1. According to CNBC, International Longshore & Warehouse Union Canada workers will strike beginning July 1 after a recent landslide vote by more than 99% of members authorized the action and still no labor deal has been reached. Canadian West Coast ports handle almost $225 billion worth of cargo a year and are vital to Midwest manufacturers and the auto industry. Approximately 15% of container trade moving through the Port of Vancouver is destined to or from the U.S., with items transported by rail including many consumer products, from apparel to electronics and home goods.

Over 99% of ILWU Canada union workers critical for West Coast port operations, including in Vancouver and Prince Rupert, voted earlier this month in favor of supporting a strike if a labor deal was not reached. The vote, which took place on June 9-June 10, occurred during a 21-day cooling-off period between the British Columbia Maritime Employers Association, which represents port ownership, and ILWU Canada. Two mediators appointed by the Canadian government oversaw discussions that ran through the end of May. ILWU Canada said in a statement on Wednesday that its goal is to protect jobs and claims the British Columbia Maritime Employers Association is demanding major concessions.

The ILWU leadership for U.S. West Coast ports, the nation’s busiest, had no comment on the strike.

We will continue to monitor the situation and provide updates as necessary.

Please contact your V. Alexander account team, or you may also contact our Trade Compliance team at tradeinsights@valexander.com with any questions.