A group of truckers protesting a state law limiting the use of independent-contractor drivers held a convoy protest through the Los Angeles-Long Beach port complex on Wednesday, July 13, snarling some traffic in the area. They treat us like were nobodies, said Mr. Chilton, the truck driver. Rail has been challenged for months.. High demand and increased rates have resulted in exorbitant profits for shippers to the tune of $150 billion in 2021, according to Bloomberg. In particular, point B above establishes that the contracting company (carrier) cannot be in the same line of work that the contracted company is being hired to do. Obtaining an authority implies a number of costs, risks and requirements (clients not paying, maintenance and repair costs, insurance coverage) that big carriers can defray and amortize more easily than an individual owner-operator. Had rail and labor officials not been able to reach a deal, LA and Long Beach port officials said, the strike would have worsened those already fraught conditions. A group of truckers protesting a state law limiting the use of independent-contractor drivers held a convoy protest through the Los Angeles-Long Beach port complex area Wednesday, snarling traffic on multiple freeways. window.googletag = window.googletag || {cmd: []}; As a subscriber, you have 10 gift articles to give each month. Every time theres a contract up, things slow down, said Anthony Chilton, 55, who drives a truck hauling containers between the ports and warehouses of Southern California. For those truckers already in the Teamsters, the union has bargained away wages and benefits for decades. Dockworkers at the U.S.'s West Coast ports and their employers will likely reach an agreement when their current contract expires this summer, International Longshore and Warehouse Union. Gavin Nuisance and the state legislature continues to make the classic errors in judgement and rulings such as a bullet train through the SJ valley? Some dockworkers question whether terminal owners are sincerely seeking to speed up cargo handling, given that shipping rates have soared amid chaos at the ports. While some issues that slowed supply chains beginning last year have eased, new ones keep popping up, with the looming cloud of a dockworker strike at U.S. west coast ports including Los Angeles and Long Beach on the horizon. Truckers are opposing the California State Assembly Bill 5 (AB5), whose stated goal is to establish employee status classification for some gig workers and which establishes a three-factor test to determine whether workers are independent contractors or employees. In August 2021, Proposition 22 was declared unenforceable as a whole by a Superior Court judge on the basis of two of its sections being unconstitutional. Still, he expressed confidence that a deal would be achieved. Soaring demand has led to traffic jams at the twin ports of Los Angeles and Long Beach, which in 2021 alone moved some 20 million cargo containers. googletag.cmd.push(function() { // San Diego Union-Tribune, Opinion: Reforming Californias ballot initiative process wont solve the bigger problem. $1.5 billion in trade is landlocked at the Ports of Long Beach and Los Angeles waiting for rail service. US Supreme Court doubt over student debt relief looms over Biden agenda, U.S. House panel approves bill giving Biden power to ban TikTok, Reporting by Lisa Baertlein in Los Angeles Her reporting, essays, and opinion columns have been published in San Francisco Weekly, the Deseret News, the San Francisco The current contract expires in July 2022, and the ILWU rejected an offer to delay . . In a world contending with no end of economic troubles, a fresh source of concern now looms: the prospect of a confrontation between union dockworkers and their employers at some of the most critical ports on earth. Im just puzzled as to why these drivers are getting in the way of other drivers trying to make a living? googletag.defineSlot('/21776187881/fw-responsive-main_content-slot3', [[728, 90], [468, 60], [320, 50], [300, 100]], 'div-gpt-ad-1665767553440-0').defineSizeMapping(gptSizeMaps.banner1).addService(googletag.pubads()); The sobering outlook follows Newsoms April 27 letter to U.S. Secretary of Commerce Gina Raimondo, in which he said the federal governments inquiry into imported solar cells and modules is delaying California solar energy and storage projects representing at least 4,350 megawatts. CalMatters columnist Dan Walters: Californians have amazing access to high-quality journalism about issues that affect their lives if they want it. googletag.defineSlot('/21776187881/fw-responsive-main_content-slot2', [[728, 90], [468, 60], [320, 50], [300, 100]], 'div-gpt-ad-1665767737710-0').defineSizeMapping(gptSizeMaps.banner1).addService(googletag.pubads()); Dockworkers went out on strike in 1971 and, in 2002, President George W. Bush used the Taft-Hartley Act following a 10-day lockout. Port of Long Beach Executive Director Mario Cordero declares 2022 as the "Year of Transformation" during his fifth State of the Port address with a forecast of cargo trends, infrastructure projects and. As a result, were more fluid and have the capacity to handle additional cargo here in Los Angeles.. When everybody else was shutting down, we didnt stop, said Jesse Lopez, the secretary and treasurer of I.L.W.U. Jaime Hipsher, 45, drives a so-called utility tractor rig equipment used to move containers at a pair of Southern California shipping terminals. During the past two years, the value of containers brought into these ports . 6:49 AM PST. The bill is backed by the California Conference of Carpenters but fiercely opposed by the powerful State Building and Construction Trades Council creating a tough political calculus for lawmakers who may have to decide which facet of organized labor will cause them the most pain during an important election year. When the contract expired, so did its "no strike" clause, said Peter Tirschwell, vice president of maritime, trade and supply chain at S&P Global Market Intelligence. Get access to our free guide that will show you how to get more control of your supply chain and googletag.pubads().collapseEmptyDivs(); // San Francisco Chronicle, Ninth Circuit upholds foie gras loophole in California. The dockworkers have moved unprecedented volumes of cargo during the pandemic, even as at least two dozen succumbed to Covid-19, according to the union. A labor impasse could worsen the floating traffic jams that have kept dozens of ships waiting in the Pacific before they can pull up to the docks. As of Tuesday morning there were 62 container ships anchored off the coast of southern California 37 of them destined for the Port of LA and the other 25 destined for Long Beach. Negotiations involving more than 30 of the nations rail companies including Union Pacific, BNSF Railway Company and the Los Angeles Junction Railway Company and 12 labor unions representing about 125,000 employees had been ongoing for months. As the current labor agreement between West Coast shippers and dockworkers is set to expire July 1, logistics companies say a port strike would divert more traffic to Gulf Coast and East Coast ports and worsen delays, shortages and cost increases for a multitude of industries, including agriculture. The two parties have negotiated West Coast collective bargaining agreements since the 1930s. By. Mr. McKenna, the maritime association chief executive, said the union had yet to outline demands while declining to engage in discussions before May. Any delays caused by failed negotiations will have a drastic cost and impact on our nations supply chain, the sponsors wrote. Bill Aboudi, president of AB Trucking, says he switched to an employee business model a few years ago, but with the fallout from AB5 looming, many trucking companies that serve the port are choosing to close, sell or move their operations out of California. While the security guard contract is separate from the West Coast-wide longshoremen's contract currently being negotiated between the Pacific Maritime Association and the International Longshore and Warehouse Union, a strike could severely impact port . The Port of LA, in fact, has seen a sixfold increase in rail cargo volume since February, Seroka said. Conditions for truckers have become increasingly difficult: Truckers in general are overworked and underpaid, a trucker told the WSWS. Cargo owners need to pick up their boxes faster in the interior with that we can load cargo onto these trains and get them out of Southern California much more quickly, Seroka said. A broader movement is underway against substandard pay and benefits, runaway inflation, overwork and unsafe working conditions. Theres too much at stake for both sides, Mario Cordero, executive director of the Port of Long Beach, said during a recent interview in his office overlooking towering cranes and stacks of containers. But a higher level of attention is expected for these talks following the past several years in which pandemic cargo surges and ship backlogs along with new health safety issues have brought a global spotlight on the shipping industry and how ports operate. // Newsweek, A Texas woman sought an abortion. googletag.enableServices(); Photo by Brandon Richardson. This cost will be felt by not only retailers and others that rely on ports for their business, but also by millions of American workers, farmers and ranchers who may face short-term shutdowns at their factories or barriers to shipping their products to market.. No date has been set for a strike. // Los Angeles Times, Oakland will get millions for the inhumane crisis at one huge homeless encampment. And, according to a Teamsters statement, the new contract includes more flexible time-off provisions. Port truckers snarl traffic in Long Beach, San, Click to share on Facebook (Opens in new window), Click to share on Twitter (Opens in new window), Click to share on Reddit (Opens in new window), Port truckers snarl traffic in Long Beach, San Pedro area with freeway protest, Port of LA oil terminal project will get full environmental review. longshoreman strike 2022. Such a struggle would be extremely powerful and could bring the entire world economy to its knees. If you have a news tip or story idea, send her an email to, Copyright 2023, All Rights Reserved, FreightWaves, Inc, Truckers plan LA/Long Beach work stoppage Wednesday to protest AB5, Loaded & Rolling (Enterprise Fleet News/Analysis), U.S. Supreme Court refused to hear the California Trucking Associations challenge to AB5, stems from the California Supreme Courts decision against Dynamex Operations West Inc., a package and document delivery company, independent contractors must follow the ABC test, Slync.ios promise to pay employees falls flat after 2 months without wages, Some of LandAirs 450 employees terminated via Zoom video call, Vermont-based LTL carrier LandAir reportedly ceases operations, Slync.io blames liquidity issues after employees go month without pay. PUBLISHED: July 13, 2022 at 11:08 a.m. | UPDATED: July 13, 2022 at 7:56 p.m. A group of truckers protesting a state law limiting the use of independent-contractor drivers held a convoy protest . 03:26. The San Pedro Bay port complex moves 40% of the nations cargo, and almost 30% of U.S. freight moves by rail, Cordero said in a Thursday statement. Earlier, the start of negotiations was set for May 12 but was moved up two days as both sides consulted with their respective calendars. A group of truckers are protesting AB-5 . Sustain this essential public service with a tax-deductible donation. Source: The Journal of Commerce online JOC.com You get killed., Twice, he has watched co-workers crushed to death by containers, he said. Anthony Chilton drives a truck hauling containers between the ports and warehouses in the Los Angeles area. The new agreement which still needs to be ratified by union members in the coming weeks would increase worker wages by 24% over five years, retroactive to 2020, including an average payout of $11,000 per worker upon ratification. (One megawatt powers about 750 to 1,000 California homes.). November 30, 2022 G. Apr 05, 2022 Dan Nosowitz There's turmoil at two of the busiest ports in the country. The B prong defines an independent contractor as a worker who is engaged in work that is outside the usual course of the hiring entitys business. That is problematic for motor carriers utilizing independent owner-operators to move freight. Representatives of the Port of Long Beach did not immediately respond to FreightWaves request for comment. // Los Angeles Times, Homicides at parks in San Diego spark debate over public safety. There are concerns that if there is a strike, they are not going to have access to their cargo, Mr. Matinifar said, straining to make himself heard over the clattering boom of heavy equipment depositing metal boxes onto the pavement. Meanwhile, on June 30, 2022 the Supreme Court refused to hear a case filed in August 2021 by the California Trucking Association (CTA) challenging the legislation. Many companies opposed the law, noting the increased expense. read more. Despite reassuring statements from port authorities that we are working with our drayage partners and other stakeholders to ensure that goods can be delivered safely and quickly through the supply chain, the protests could cause supply chain disruptions, especially within a very inflammable context of industrial unrest. Always keep a lookout for seagoing ships. Totally legitimate and gets around being an independent contractor. Amid continued strain on the supply chain, San Pedro Bay got off to a fast start in 2022 with record cargo traffic in January. googletag.pubads().collapseEmptyDivs(); The last time the I.L.W.U. Latest coverage of the 2022 general election in California. . // San Francisco Chronicle, What Israel, Las Vegas and other places can teach SoCal about using a lot less water. Please contact CalMatters with any commentary questions: commentary@calmatters.org. Send me an email. The issue has been hotly debated in various segments of the trucking and delivery industries, and among gig workers such as Uber and Lyft drivers. }); Owner-operators are the most difficult segment of the trucking industry to try and organize its like herding cats because everyone has their own personal gripes in the industry, Reimer said. With the contract of union workers at West Coast ports nearing expiration, the prospect of a labor impasse threatens another shock to the global economy. read more. Despite falling just shy of matching its cargo numbers from last August, the port has regularly broken cargo records since the second half of 2020. Rail facilities in Chicago, Dallas, Kansas City and other cargo hubs are jammed, much like port terminals were last year when record high volumes of cargo sat on anchored ships awaiting pickup. But his administration still needs to work out a lot of disagreements with the Legislature before the June 15 deadline to pass a budget for the fiscal year beginning July 1: Money is also at the crux of the debate surrounding a bill to require some health insurance plans to cover fertility treatments, including in vitro fertilization, CalMatters Ana B. Ibarra reports. In 2018, the Teamsters overrode a majority no vote by the membership to impose a new contract at UPS, which contained a new classification of hybrid, part-time delivery driver, an attack on one of the last decent-paying positions at the company. That could aggravate shortages and send already high prices for consumer goods soaring. Dockworkers at the Port of Los Angeles have moved huge volumes of cargo during the pandemic. The last four contracts ended up in some sort of disruption, he said. Automated cargo handling and its impact on jobs, for example, Bingham said, is likely to be a leading topic. 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