Uncertainty at BC Ports Continues as Possible Deal Emerges in Labour Dispute

Signs displaying "closed" are seen at the Centerm Container Terminal as striking International Longshore and Warehouse Union Canada workers picket at the port, in Vancouver, B.C., July 11, 2023. The Canadian Press/Darryl Dyck

For the second time in just over a week a tentative deal may have been reached in the labour dispute at British Columbia ports.

News of a possible agreement capped a tumultuous week in the conflict, which earlier this month froze billions of dollars’ worth of goods at Canada’s key west coast import and export points, and then threatened to do it again.

A statement on the website of the International Longshore and Warehouse Union Canada Local 502 says that a tentative agreement has been reached with the BC Maritime Employers Association, and the union will hold an “emergency contract caucus” Friday to decide if the deal will be sent to the full union membership for ratification.

Neither the union nor the BC Maritime Employers Association were available to confirm the latest development.

The Canadian Manufacturers & Exporters said in a statement that it was hopeful the tentative deal meant an end to the labour dispute was near.

“We urged the federal government to hold the parties accountable to ensure swift ratification of the new deal,” it said.

“If the tentative deal is not successfully concluded by both parties, the federal government should recall Parliament to bring in back-to-work legislation to get our goods moving again.”

The union’s leadership caucus rejected a previous tentative deal brokered by a federal mediator that would have ended the conflict, which already caused a 13-day work stoppage at B.C. ports earlier this month.

The latest news caps off a week of uncertainty that saw the union caucus reject a federal mediator’s agreement, prompting the union to strike immediately, then go back to work after a labour board ruled that strike illegal. The union then issued 72-hour strike notice and hours later rescinded that notice.

Dennis Darby, CEO of Canadian Manufacturers & Exporters, said in the statement that the industry cannot withstand the disruptions that are “severely impacting” the sector.

Mark Thompson, University of British Columbia professor emeritus atthe Sauder school of business, said while port strikes were common in the 1980s and 1990s, they weren’t allowed to drag on, unlike the latest dispute.

“The government (today) is very reluctant to enact back-to-work legislation, so we are in uncharted territory right now,” he said.

On Thursday, Prime Minister Justin Trudeau said it was unacceptable that the union rejected the tentative deal worked out with a mediator that had been agreed to by both sides.