Shipping Update: Tentative Agreement Reached at B.C. Ports

July 18, 2023 | The B.C. Maritime Employers Association (BCMEA) and International Longshore & Warehouse Union (ILWU) Canada on July 13 announced a tentative agreement for a new four-year contract covering approximately 7,400 workers at more than 30 British Columbia (B.C.) ports. The Toy Association has been closely monitoring the situation and the Canadian Toy Association signed a joint letter urging Prime Minister Trudeau to intervene for both sides to come to a quick resolution.

The agreement was reached less than two days after Canada’s Minister of Labour ordered the federal mediator overseeing negotiations to provide recommendations for a settlement. Although the agreement is subject to ratification by both parties, operations at the ports resumed immediately. However, it is estimated that it could take several weeks for the supply chain to recover. Details of the agreement were not released.

ILWU Canada workers were on strike since July 1 over automation and wage disagreements with their employer. The 13-day strike impacted an estimated $9.7 billion in trade, according to the Greater Vancouver Board of Trade.