West Coast port action back to normal after settlement
West Coast port action back to normal after settlement
Though the contract still needs to be ratified, activity at all 29 West Coast ports was at near normal levels Feb. 23 after the two sides reached tentative agreement Feb. 20 on a new five-year contract.
There were still reports of work slowdowns or skeleton crews over the weekend, but by mid-morning Monday observers saw lots of dockworker activity up and down the West Coast.
Still, experts say it will take several months to get completely caught up and eliminate the backlog that piled up over the last several months of decreased activity.
The details of the contract settlement have not yet been released, but it is said to be a five-year contract with the financial elements having been solved prior to the final negotiations, so ratification is expected.
Though there was a news blackout at the end, the Pacific Maritime Association, which represents the shipping lines and terminals, noted two weeks ago that proposed changes to the current arbitration procedure was one of the last hurdles to jump.
The International Longshore & Warehouse Union wanted more say in which arbiters were used as the workers have lost many arbitration cases concerning work slowdowns in the last five years. It is unknown as to the final outcome of that bargaining point.
Many agricultural commodities, ranging from soybeans to citrus, were affected by the dispute, which began after the last contract expired July 1. Though the terms of that contract were extended and there was never an official strike, there were many disruptions caused by work slowdowns or the closing of the ports by the terminal operators.
Ag groups, including California Citrus Mutual, said the lost export sales opportunities are impossible to quantify but were in the multi-million dollar arena. All tolled, experts say the dispute cost the U.S. economy more than $7 billion.
While that's a significant number, it pales in comparison to the estimated $2.1 billion that would have been lost each day if the ports would have been closed by a strike or a lockout.