Canada dock workers reject new salary offer

MONTREAL

Dock workers on Canada's west coast have rejected the latest salary offer from an employers group, after earlier launching a 13-day strike with major economic consequences for the country.

The International Longshore and Warehouse Union (ILWU) of Canada, whose leaders had backed the tentative agreement, called on employers to "come to the table and negotiate something that works for our members and the industry," according to a brief statement.

The employers group, the British Columbia Maritime Employers Association (BCMEA), said it was disappointed by the rejection of an offer proposed by a federal mediator.

In a statement, it called the proposal "a good deal that recognized the skills and efforts of B.C.'s waterfront workforce while providing certainty and stability for the future of Canada's West Coast ports."

The tentative accord had called for a 19.2 percent salary increase over the course of a four-year contract.

"Regrettably," the employers' statement went on, "ILWU's rejection once again leaves businesses, Canadians and all those who depend on a stable, well-functioning supply chain hanging in the balance."

It said that while the union had "not communicated their next steps, they retain the ability to provide 72-hour strike notice."

A 13-day strike in early July affected crucial economic sectors, notably Canada's automotive industry.

Workers rejected a first agreement in principle on July 18.

After announcing plans to again strike, they canceled that after authorities said the law required 72 hours' advance notice for such action.

Negotiations resumed under a federal mediator, resulting in the tentative pact that the workers rejected.

The automation of ports, the cost of living and the issue of subcontracting are the key points separating the two sides.

Key Canadian exports (coal, wheat, canola and other food products) and imports (clothing, petroleum products, automobiles and parts) pass through the ports daily, providing important transit links to Asia and the United States.

The Port of Vancouver alone, the nation's largest, handles some Can$305 billion ($230 billion) worth of goods annually, and contributes Can$11.9 billion to the nation's annual output.