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Striking dock unions should pay $2 billion a day, say Republican senators

Republicans are bringing new legislation before the US senate which, if passed, would fine dockworker unions up to $2bn a day, making strike action practically impossible.

Introduced by Idaho senator Jim Risch and co-sponsored by fellow Idaho senator Mike Crapo and North Carolina senator Ted Budd, the bill would amend the National Labor Relations Act and Labor Management Relations Act to redefine port slowdowns by maritime workers – including no-shows and work-to-rule strikes – as unfair labor practices.

The bill would also make dockworker unions financially liable for damages incurred by their members withholding labor, and issue fines equivalent to double the damages. According to Chamber of Commerce estimates, a widespread strike along the west coast would cost approximately $1bn a day, making unions liable for $2bn a day.

The bill, according to a copy obtained by CNBC, refers to striking workers as a “burgeoning threat to the financial health and economic stability of the United States”, and calls on the Senate “to eliminate the causes and mitigate the effects of such disruptions to commerce in the maritime industry, and to provide effective and prompt remedies to individuals injured by such disruptions”.

The news follows this month’s 9-1 Supreme Court vote ruling that employers can hold individual workers financially liable for any losses incurred during a strike.

Last week, it was widely reported that Julie Su, the Biden administration’s labor secretary, had brokered a ‘tentative agreement’ between the ILWU and the Pacific Maritime Association (PMA). She had been under enormous pressure to broker an agreement before 24 June, when Canadian ILWU dockworkers were due to strike after a breakdown in their contract negotiations.

It avoided a situation where dockworkers would be striking at ports across the entire west coast of North America, coinciding with drought restrictions in the Panama Canal that would have stifled US east coast port capacity too.

ILWU international president Willie Adams told union members it would be at least a month before they would see details of the agreement, adding: “We will not be sharing details of the tentative agreement publicly until we have completed the ratification process. Next month we will have a longshore caucus, which is the highest governing body in the longshore division, and the delegates there will see the contract in its entirety.”

The Biden administration found itself in a similar situation last year, racing to broker a deal with railway unions by 15 September, when they could legally strike. After the agreement was subsequently rejected by rail unions, Congress retaliated by signing into law HJ Resolution 100 in December, banning a strike outright and forcibly imposing the terms of the agreement.

https://www.cnbc.com/2023/06/04/long-beach-calif-terminal-hit-by-labor-turmoil-and-wont-open-monday.html

Largest terminal at Long Beach, California port won't open Monday after getting hit by labor turmoil Ports and workers are locked in an unofficial dispute over wages, as well as safety, automation and pension benefits.

'Massive' typhoon disrupts ports and airports in Shanghai, Ningbo and Busan

Typhoon Hinnamor has forced the ports of Shanghai, Ningbo and Busan to close, further disrupting shipping schedules from Asia.

Shanghai’s container terminals and equipment yards were closed at 4pm yesterday “until further notice”, according to Norman Global Logistics (NGL). Ningbo’s terminals closed on Friday, the forwarder added.

Thomas Gronen, head of Greater China at Fibs Logistics, told The Loadstar: “We haven’t had any delay notices from the shipping lines, but we need to check the individual vessel status, case by case.

“By Tuesday, we are expecting normal operations again and, generally, a two-day delay in departures.”

He added: “PVG [Shanghai Pudong Airport] also cancelled most flights from yesterday, with normal operations to be expected, again, by Tuesday.”

A representative of Dimerco said shipping schedules from Ningbo had already been under pressure from blank sailings, and now shippers faced further delays.

She explained: “Recently, vessels were delayed or cancelled frequently [from Ningbo] due to lower freight rates on South-east Asia and certain US lanes, now the typhoon may further impact vessel schedules.”

A Maersk spokeswoman told The Loadstar: “Inbound pilot services in Shanghai and Ningbo ports have been suspended and all container vessels are asked to be evacuated. Busan and Kwangyang ports are closed as well. We’re monitoring the development closely and preparing for vessel/cargo contingency plans.”

Indeed, the “massive” storm may have a greater impact on South Korea – according to reports, Typhoon Hinnamor has a radius “big enough to cover from Seoul to Busan” and could be the most powerful in the country’s history.

Itis expected to make landfall near the port city of Busan tomorrow morning, prompting flight cancellations and the suspension of some business operations.

ILWU seeking temporary halt to contract talks: sources – Arrowlink USA Inc The International Longshore and Warehouse Union (ILWU) has requested that contract negotiations with West Coast waterfront employers be suspended until June 1, according to multiple sources close to the talks. The halt, if granted, would begin Friday.

Port automation debate flares ahead of USWC labor talks – Arrowlink USA Inc The temperature around terminal automation — long anticipated to be the most contentious issue in upcoming West Coast longshore labor talks — is heating up on the eve of the launch of formal negotiations.