www.supplychainbrain.com/articles/40620-montreal-employers-threaten-to-suspend-striking-port-workers-salary-guarantee

A large blue container ship docked at a port, below three white shipping cranes, while a grey barge moves through the waterway in the foreground — The Port of Montreal along the St. Lawrence River. Photo: iStock / LaSalle-Photo

Montréal Employers Threaten to Suspend Striking Port Workers’ Salary Guarantee

November 4, 2024

Ahead of a looming November 4 strike at two terminals at the Port of Montréal, the Maritime Employers Association (MEA) said it will have no other choice than to proceed with the suspension of a salary guarantee as of November 5 for all longshore workers at the Port of Montréal that are not working. The November 2 announcement from the MEA said the move was a mitigation measure to reduce the cumulative financial impact of repeated strikes and lower volumes at the Port of Montréal.

The Montréal Port Authority (MPA) has expressed “deep concern” over the strike’s adverse effects on supply chains and the broader economy at a time when goods, especially those for the holiday season, are expected at the port. According to World Cargo News, with 40% of Montréal’s total container-handling capacity now paralyzed, the impact is already rippling across the region’s logistics network, with ships and trains diverting to alternative routes.

The MEA said it had proposed entering into a period of accelerated negotiations with the Union, without preconditions, with the support of a special mediator appointed by the federal Minister of Labour, in order to reach a new collective agreement.

Rejecting this proposal, the Port of Montréal Longshoremen’s Union, CUPE Local 375, called an unlimited strike on October 31 that directly blocks the Viau and Maisonneuve terminals, run by TerMont, and the handling of 40% of containers delivered to the port. “This regrettable decision, which is in addition to the refusal to work overtime since October 10, has a major impact on most operations at the Port of Montréal,” the MEA said. “Union actions caused a move in cargo to other destinations.”

The MEA informed the Union that it will suspend the salary guarantee under which Port of Montréal longshore workers who are on call but who are not working due to insufficient volume receive their full salary each week. The MEA said the provision, unique to Montréal longshore workers, is expected to cost approximately $15 million in 2024. The suspension would exclude workers in the bulk sector and essential services.

While the TerMont terminals are closed, all other Port of Montréal terminals continue to operate as normal.