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

According to Reuters,” Dock workers at ports along Canada’s Pacific coast rejected a tentative four-year wage deal agreed with their employers last week and returned to the picket line, the International Longshore and Warehouse Union (ILWU) said on Tuesday”.

The ILWU represents some 7,400 dock workers, who walked off the job on July 1 after failing to reach a new work contract with the British Columbia Maritime Employers Association (BCMEA), which represents the companies involved. A tentative agreement was reached last week, but in a statement released Tuesday afternoon, the ILWU said its members had voted down the recommended terms of settlement because they did not believe the terms would protect their jobs.

“We regret to advise that ILWU Canada (ILWU) has communicated that ILWU’s internal caucus leadership rejected the tentative agreement, before it was even taken to a vote of the full union membership,” the British Columbia Maritime Employers Association (BCMEA) said in a Tuesday statement. ILWU Canada president Rob Ashton said the four-year agreement was “far too long” given the uncertainties in the industry and the economy overall.

In response to the strike’s resumption, Alberta premier Danielle Smith tweeted that “the federal government must reconvene Parliament and legislate these workers return to work.” Two years ago, the parliament was able to quickly nix a similar strike in Montreal.

Greater Vancouver Board of Trade president Brigitte Anderson expressed she was “dismayed and disappointed” by the development. “We are greatly concerned about the impacts the continuation of the strike will have on Canada’s international reputation as a reliable trade partner” and put Canadian businesses at risk, said Anderson in a statement.

The BC Chamber of Commerce also chimed in about being “profoundly disappointed” that the ILWU rejected the deal. “Our port infrastructure is critical to the health and success of our businesses, workers and national economy,” said the group representing 100 chambers of commerce across the province. “The strike had already dragged on too long when the tentative deal was announced last week … (and) it is untenable for the labour dispute to continue further. The federal government needs to use every resource at its disposal to bring the parties together and bring a swift end to the strike.”

We will continue to monitor this 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.