Market Letters

11.06.24 Laufer Client Alert: Canadian Labor Strikes Expand Shutting Down Key West Coast Ports

Canadian ports continue to face significant disruptions due to ongoing labor disputes.  

The International Longshore and Warehouse Union Local 514 (ILWU Local 514) initiated a strike at major West Coast Canadian ports on Monday at 4:30 p.m. PST, prompting a lockout by the BC Maritime Employers Association (BCMEA). This action has effectively shut down container operations at key ports including Vancouver and Prince Rupert. The prolonged dispute over a labor deal includes the use of automation at ports, as well as benefits, wage increases, and welfare improvements, following the expiration of the contract on March 31, 2023.  

Concurrently, the Port of Montreal, Canada's second-largest port, is also experiencing labor unrest, with dockworkers striking and impacting 40% of East Coast container traffic. With no end date in sight, the strike will continue to affect the port’s two Termont-operated terminals, which account for approximately 40% of the port's container traffic. The specific terminals affected by the strike are the Viau and Maisonneuve terminals.  

What You Need to Know: 

  • British Columbia Port Lockout: The BCMEA has locked out over 700 unionized workers at the Ports of Vancouver and Prince Rupert, effectively halting container operations. 
  • There is no current timeline around a resolution. Both BCMEA and ILWU Canada have confirmed that there are no negotiations taking place. 
  • Rail Congestion: Canadian National Railway has suspended international intermodal shipments to the West Coast, adding to rail network pressures. 
  • Montreal Port Strike:  Dockworkers at the Port of Montreal have walked off the job, impacting 40% of East Coast container traffic. 

Recommendation: 

  • Contact your Laufer Import and Export Booking and Operations Representatives to review potential impact to existing and future bookings and shipments. 

We are actively monitoring this situation and will provide further updates as they become available. Please continue to check out our INSIGHTS and NEWS pages for the latest information. 

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