Port Productivity Slows to a Halt
With intense labor negotiations between port operators and dockworker unions, the west coast ports were nearly at an all-out standstill in June of this year. It started with workers not showing up for their shifts or refusing to work. As the day went on, ports urged the longshore union to resolve the dispute with operations because the continuing disruption would spell disaster for the supply chain.
According to SHRM, “The national economy relies on an outcome that keeps goods moving through the San Pedro Bay ports, the most important gateway for trans-Pacific trade,” Mario Cordero, executive director at the Port of Long Beach, said in an emailed statement. “We are optimistic our waterfront workforce and their employers will resolve their differences quickly.”
What Happened at Several Ports This Summer?
With the Port of Seatle and Port of Tacoma offering no comment on the operation issue, here is what we do know that happened at several west coast ports:
- Port of Los Angeles: The port was open, but ” varying degrees ” affected container terminals.” Terminals had not scheduled labor for Saturday and Sunday; the port said it would monitor if staffing levels normalize by Monday morning.
- Port of Long Beach: In a statement from Executive Director Mario Cordero, all container terminals at the Port of Long Beach remained open.
- Port of Hueneme: The port saw some impact in the morning with jobs going unfilled, including most jobs related to loading and unloading, Donna Toteva Lacayo, the port’s chief commercial and public affairs officer, said in a phone call. “I’m hearing that the night shift wasn’t filled either today. We remain optimistic about tomorrow.”
- Port of Oakland: International terminals closed for the day shift, but the domestic terminal Matson remained open with limited operations, according to Port Spokesperson Marilyn Sandifur.
Ports Reach Deal With Workers
They had been working toward a deal for nearly one year because the previous contract expired on July 1, 2022. The deal came directly due to workers refusing to work, which caused the closing of several West Coast ports. So, what did they negotiate?
The new deal includes an eight to ten percent wage increase and retroactive pay at the increased rate for hours worked when there was no contract. Machinery was also an issue. A long-standing argument for port employees, the deal outlines to what scope port managers can use machinery to do jobs currently fulfilled by dockers. Some companies thwarted their cargo to rival East Coast and Gulf Coast ports because the port wars spelled disaster for the critical retail seasons of back-to-school, Halloween, and Christmas.
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