MONTRÉAL, Nov. 2, 2024 /CNW/ - The Maritime Employers Association (MEA) will have no other choice than to proceed with the suspension of the salary guarantee as of November 5 at 7:00 a.m. for all longshore workers not working, with the exception of bulk sector and essential services. This is a mitigation measure to reduce the cumulative financial impact of repeated strikes and lower volumes at the Port of Montréal.

This week, the MEA 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. Unfortunately, the Union rejected this proposal.

Instead, the Port of Montréal Longshoremen's Union, CUPE Local 375, decided to call an unlimited strike on October 31 that directly blocks two TerMont terminals 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. Union actions caused a move in cargo to other destinations.

As a result, after thoroughly analyzing the financial situation, the MEA, informed the Union this morning that it will suspend the salary guarantee mainly for longshore workers assigned to container transshipment who are not at work, as of Tuesday, November 5.

Currently, Port of Montréal longshore workers who are on call but who are not working due to insufficient volume receive their full salary each week. This specific provision, unique to Montréal longshore workers, is expected to cost approximately $15 million in 2024.

Major impacts

Since 2022, volumes have plummeted at the Port of Montréal and MEA revenues have fallen by approximately 40%. In this context, the actions initiated by the Union are forcing the MEA to make some difficult, but necessary, decisions to mitigate the financial impact of pressure tactics on the organization. The MEA represents the industry with workers and its role involves providing a qualified workforce to enable intermodal transport and protect the supply chain despite its significant declines in revenue.

Despite the deplorable actions of the Longshoremen's Union, CUPE Local 375, which have repeatedly disrupted the supply chain in Montréal and in the entire country, the MEA remains willing to continue negotiations with the Union, with the support of a mediator appointed by the Minister of Labour.

SOURCE Maritime Employers Association