22 Oct Montreal Port Labor Dispute Continues as Mediation Proposal Rejected
Hopes for a swift resolution to the ongoing labor dispute at the Port of Montreal have been dashed after Canadian Minister of Labour Steven MacKinnon’s proposal for “special mediation” was rejected. The proposed mediation would have paused all pressure tactics for 90 days, allowing both the Maritime Employers Association (MEA) and Montréal Longshoremen’s Union Local 375 to resume negotiations.
Mr. MacKinnon urged both parties to quickly work toward a negotiated settlement, stating that he would continue to closely monitor the situation. Despite this, no agreement was reached, and the appointment of a mediator will not proceed.
The MEA confirmed that it remains in communication with the minister’s office, seeking a constructive solution with support from the Federal Mediation and Conciliation Service. The overtime ban that began on October 11 is ongoing and will continue indefinitely, raising concerns over potential further disruptions.
Shippers and forwarders, already strained by labor unrest at US East and Gulf coast ports earlier this year, are hoping the stalemate is resolved before further strikes begin in the new year. Karl-Heinz Legler, GM of Rutherford Global Logistics, noted that the US strikes forced many to route cargo through alternatives like Halifax, adding substantial workload and costs.
The Montreal Port Authority has expressed concerns about the impact on the logistics chain, given the port’s role as the largest container gateway in Eastern Canada. Despite the dispute, container throughput at the port has remained stable, with 120,526 teu handled last month compared to 126,555 teu in September 2023.
If the situation escalates to a full strike, operations at the port could be severely impacted, which would have been avoided under the special mediation plan.