In an aerial view, a container ship is docked at the Port of Oakland on May 20, 2022 in Oakland, California.
Justin Sullivan | Getty Images
A key port labor union is moving a planned work stop on June 20 at the already congested port of Oakland in California, days before the union’s contract expires.
The Oakland chapter of the International Longshore and Warehouse Union, or ILWU, announced that its work stoppage meeting would be moved from the night shift to the day shift. According to a document obtained by CNBC, the first shift from 8 am to 5 pm PT shift will remain closed. Operations will resume at the port at 6 pm
A port official told CNBC that the change was made so that black longshoremen could celebrate the holiday of Juneteenth, which is a Sunday, June 19, but would be widely observed on June 20.
Stoppages are bad news for already dysfunctional supply chains. According to truck drivers familiar with the port, the day shift is much busier than the evening shift. according to CNBC Supply Chain Heat MapThe Port of Oakland is the worst performing port for the movement of import containers – a 9.5-day average.
Port staff were made aware of the change in the email on Friday morning.
ILWU did not immediately respond to CNBC’s request for comment. The contract expires on July 1.
Related to the change in the timing of this meeting are the logistics experts.
“Given the slow growth rate of the US economy, a disruption in the flow of exports is never a positive,” said Alan Baer, CEO of shipping company OL USA. “We need all sides of the supply chain to function as it optimizes the short- and long-term outlook for everyone involved.”
The Port of Oakland has also seen a decline in exports and recently announced a partnership with the USDA to provide financial assistance to agricultural exporters.