ICTSI staying put in Portland amid union’s work stoppages

MANILA, Philippines - Port giant International Container Terminal Services Inc. (ICTSI) remains committed to its investments in the Port of Portland amid the decision of Korea’s Hanjin to pull out starting next month.

ICTSI Oregon said it would continue to operate a world-class terminal in the Port of Portland despite Hanjin’s decision to stop calling on the port’s Terminal 6 starting March 9 due to the work stoppages and slowdown caused by members of the International Longshore and Warehouse Union (ILWU).

“Though ICTSI Oregon is very disappointed in Hanjin’s decision, we remain as committed as ever to operating a world-class terminal that helps create local jobs and drives economic growth in Oregon and throughout our region,” ICTSI said in a statement.

The port operator owned by port and gaming mogul Enrique Razon Jr. has 20 years remaining in its lease and partnership with the Port of Portland.

“ICTSI Oregon will continue serving our remaining shipping customers. We will also aggressively pursue new direct service for local businesses to Asia and other locations,” it added.

ICTSI said ILWU engaged in approximately 36 work stoppages and slowdown of various types and for varying durations during the Christmas holidays. It added that similar efforts, along with intentional labor shortages, have continued into the first month of 2015. 

ILWU ordered a 12-hour work stoppage commencing at 7 a.m. Some members worked during the morning but walked off the job without notice at 1:15 p.m. 

“As we move forward, it is important to underscore that the success of Terminal 6 requires the ILWU to end its more than two-year campaign against carriers, ICTSI Oregon and the Port of Portland,” the company said.

The port operator pointed out that productivity at Terminal 6 continued to fall well below acceptable historical levels. ILWU labor was producing approximately 24.8 moves per hour prior to the labor dispute that started in June 2012. However, ILWU labor productivity fell 47 percent to 13.2 moves per hour in the last quarter of 2014.

Terminal 6 is the only international shipping container terminal in Oregon and is a powerful economic engine to the region that offers significant benefits to thousands of businesses, workers and consumers.

The port operator warned that ILWU’s deliberate and continuous work delays since June 2012 threaten the terminal’s future viability as a critical hub of regional economic activity. 

ICTSI is the largest port operator in the Philippines and has a portfolio of 29 container terminal operations in 21 countries across six continents.