Port of Vancouver | The threat of a resumption of the strike hovers

The union representing the Port of Vancouver longshoremen is back on the attack and files a new 72-hour strike notice. A possible return to square one which is not reassuring for the Trudeau government, which is studying its options – including the tabling of a special law that the business community is demanding.




Prime Minister Justin Trudeau convened the Incident Response Group on Wednesday afternoon to determine next steps. A phone call with the premier of British Columbia may follow.

The day was punctuated with twists and turns. It began with a verdict from the Canada Industrial Relations Board (CIRB), which declared the strike “unlawful” under the Canada Labor Code, the union party having failed to give 72 hours’ notice.

The quasi-judicial tribunal ordered the longshoremen to cease their strike activities, and ordered the International Longshoremen’s and Warehousemen’s Union of Canada to revoke its declaration of authorization to strike.

The pickets were dismantled following this verdict. Workers were scheduled to temporarily resume the collar at 1 a.m. Thursday morning Pacific time, and the union filed a new 72-hour strike notice.

It may therefore only be a postponement, to the chagrin of a government whose patience is running out.

At a press conference at the port of Argentia, in Newfoundland and Labrador, the Minister of Transport, Omar Alghabra, said he was “disappointed” to note, the day before, a return of the picket lines. He also deplored the fact that the agreement in principle had not been submitted to the vote of some 7,400 workers.


PHOTO CHARLES WILLIAM PELLETIER, LA PRESSE ARCHIVES

Transport Minister Omar Alghabra

“I’m out of patience […] We have a responsibility to act to protect Canada’s interests and economy,” he also said on the sidelines of a funding announcement. The government, added the minister, is “studying what the options are”.

That of the filing of a special back-to-work law is not ruled out.

The NDP and the Bloc against a special law

We already know that the New Democratic Party (NDP), the Liberals’ dancing partner in the House of Commons, does not support the idea of ​​a special law, any more than the Bloc Québécois.

“We have always been clear with the Liberals that we will oppose back-to-work legislation. New Democrats will always stand up for workers who demand their rights and fight for a better future,” said New Democrat Leader Jagmeet Singh.

At the Bloc Québécois, spokesperson Julien Coulombe-Bonnafous indicated that the party was “in favor of a negotiated settlement”, pointing out that the Bloc Québécois has never voted in favor of a bill to return to work.

As for Conservative leader Pierre Poilievre, he did not specify which brand he was staying at, preferring to challenge Prime Minister Justin Trudeau to announce “a plan to end this strike in the next 24 hours” because “we cannot pay the price” for such a work stoppage.

The Parliament will have to be called back in the event of deposit of a special law.

Astonishment

In the business world, the turn of events leaves a bitter taste. The first 13-day outage had already had “several million” repercussions at Olymel, which has accumulated about 3 million kilograms of fresh produce – such as pork tenderloins and loins – in its freezers.

“In a week, we will approach 5 million kilos, dropped the first vice-president of the meat processor, Paul Beauchamp, in a telephone interview on Wednesday. If the strike had ended this morning, we would have had it until September [pour écouler les stocks]. These are appreciable sums that are sleeping on the quays and in our warehouses. »

Asia is an important market for Olymel. Each week, approximately 1.5 million kilograms of fresh produce leave its factories in Quebec and Red Deer (Alberta) for countries such as Japan and South Korea.

These cargoes are shipped out of the Port of Vancouver, basically.

Representatives of employers’ associations are now openly calling for a special law. According to Véronique Proulx, President and CEO of Manufacturiers et Exportateurs du Québec (MEQ), Ottawa did everything to support the union and the employer during the first walkout.

“I don’t see what solution remains,” she said. We wanted a negotiated agreement, but there is a limit to letting companies be penalized. We did not expect what happened. »

The Canadian Federation of Independent Business has also called for special legislation to break the deadlock. MEQ, which represents some 1,100 manufacturing companies in the province, estimates that “five to six days” are needed to “absorb the delays generated” by each day of the strike. At least 65 days will therefore be necessary to turn the page on the first 13 days of walkout.

After conducting a survey of its members, the association says that more than one in two respondents (55%) say they have suffered paralysis at the Port of Vancouver. In addition, 33% expect to suffer from it soon.

Among financial analysts, the labor dispute at the Port of Vancouver does not worry in the short term. On the other hand, some, like Walter Spracklin of RBC Capital Markets, wonder if Canada’s reputation could suffer. If so, the impact would go beyond exporting companies or those expecting goods from abroad.

“The labor uncertainty could cause shippers to re-evaluate their options, particularly to Midwest destinations, where Vancouver and Prince Rupert compete head-to-head with US West Coast ports,” Spracklin writes. .

If this scenario were to materialize, the two major railways in the country, Canadian National (CN) and Canadian Pacific Kansas City (CPKC), could suffer. About 40% of the cars moved by CN pass through the two western Canadian ports. For its competitor, it is about 20%.

The story so far

  • June 28: A strike notice is filed by the International Longshoremen’s and Warehousemen’s Union of Canada. The employment contract expired last March.
  • 1er July: A walkout begins in more than 30 ports in British Columbia, including Vancouver, the largest in the country. More than 7,400 longshoremen desert the docks.
  • July 13: A tentative agreement is reached between the union and the employer.
  • July 18: The agreement is rejected and the strikers return to the picket lines.

Learn more

  • $135,000
    Average daily impact of the strike at the Port of Vancouver among the companies represented by Manufacturiers et Exportateurs du Québec

    Source: Quebec Manufacturers and Exporters

    16%
    Proportion of goods traded annually in Canada that pass through ports on strike

    Source: BC Maritime Employers Association


source site-60