B.C. port strike could increase cost of goods for consumers: GVBoT

Thousands of unionized terminal cargo loaders in B.C. have voted in favour of job action, as both the union and employer continue negotiations to come to an agreement.

But what would a strike mean for you, the consumer?

According to Greater Vancouver Board of Trade President and CEO Bridgitte Anderson, any labour dispute can create turbulence for businesses and consumers alike.

“The Port of Vancouver and the Port of Prince Rupert handle over $350 billion a year in goods,” she explained, noting those ports are critical for both imports and exports.

Related article: B.C. port cargo loaders approve strike, but talks continue with maritime employers

“Businesses and consumers alike are still in a pretty fragile state of recovery from the pandemic, as well as other situations that have really impacted costs, like the heat dome and the catastrophic flooding that happened as well. So a strike could further make a situation even worse when it comes to costs rising and when it comes to inflationary measures, which does trickle down. We’re not just talking about businesses here but consumers could end up paying more too in a situation where we’re all facing economic headwinds so it is a point of big concern for us here at the board of trade.”

The International Longshore and Warehouse Union Canada said Monday a vote over the weekend yielded 99.24 per cent support for strike action against the BC Maritime Employers Association “if necessary.”

The vote allows the union to file 72-hour notice for a strike to begin on June 24 if negotiations do not progress.

GVBoT calls for union, employer to ‘find a solution’

The situation is raising concerns, Anderson says, noting in the U.S., the union’s American counterpart is in talks of its own with west coast ports.

“Any kind of labour dispute like this could impact the cost of goods. Then, of course, that impacts businesses, which often has to pass on that increased cost to consumers. So if we’re seeing a situation in the United States as well where there are some labour dispute issues, this makes the situation even more precarious,” she told CityNews.

The BC Maritime Employers Association’s website says the industry contributes $2.7 billion to the national GDP and handled roughly 16 per cent of Canada’s total traded goods, amounting to $180 billion in 2020.

The union and employer in B.C. are set to return to negotiations this week after a cooling off period. The agreement between the two sides expired in March.

Anderson and the GVBoT are calling for both sides “to come together and find a solution,” adding, “Canada’s reputation as a reliable trading partner” requires a stable supply chain.