Sunday, February 15, 2015

West Coast ports dispute to be mediated by Labour Secretary



• Labour Secretary Tom Perez will try to secure agreement between parties

• LA and Long Beach ports have more than 30 ships waiting to unload

• Negotiations have been ongoing for weeks causing major delays


LOS ANGELES, California - US President Barack Obama has asked Labor Secretary Tom Perez to intervene in the ongoing dockworkers strike on the West Coast, which has caused severe shipping delays.

Perez will travel to California to help negotiate an agreement between the dockworkers' union and port authorities that has led to closed ports along the West Coast of the US, the White House said Saturday.

"The negotiations over the functioning of the West Coast Ports have been taking place for months with the administration urging the parties to resolve their differences," said White House spokesman Eric Schultz.

"Out of concern for the economic consequences of further delay, the president has directed his Secretary of Labour Tom Perez to travel to California to meet with the parties to urge them to resolve their dispute quickly at the bargaining table," Schultz added.

The dispute between the union representing 20,000 dockworkers at 29 ports and the Pacific Maritime Association has caused a back-up of nearly 30 freighters wanting to unload cargo at the ports of Los Angeles and Long Beach, California.

Even before the labour dispute there was a major congestion crisis brewing at West Coast ports, and the shutdowns this weekend are only making the situation worse.

At the combined ports of Los Angeles and Long Beach, about US $1 billion worth of cargo comes through every day. Most of it is from Asia: electronics, clothes, toys and car parts and the delays have hit several West Coast industries hard.

The delays have forced several shipping companies including the shipping giant Maersk Line to suspend or reduce the number of vessels calling at the ports, which shipping hubs on the east coast being temporarily used instead.

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