Hundreds of dockers at Port of Liverpool, the fifth-largest port in the UK, had planned to walk out for two weeks from 20 September to 3 October over pay row. And the strike is officially ongoing.
Hundreds of dockers at Port of Liverpool, the fifth-largest port in the UK, had planned to walk out for two weeks from 20 September to 3 October over pay row. And the strike is officially ongoing.
The operator of Liverpool Port, Peel Ports, announced an increase in pay package for workers, which proved to be a pay cut actually because of the rate of inflation. And dockers demanded a reasonable offer.
Port of Liverpool owns one of the largest container terminals in the world. The striking action means that the UK supply chain could be greatly hurt since another strike at Britain’s biggest container port Felixstowe is expected to start in a week.
When the overlapping walkouts take place at Port of Liverpool and Port of Felixtowe, it is expected that above 50% of the container shipping to or through the UK will be suspended. The knock-on impact also includes disruptions in many sectors across the economy, especially the sectors of manufacturing and retail.
Container vessels will be re-routed to other ports in both Europe and the UK. The already-congested European port network will be put under more stress. Besides, there are other factors playing an unfavorable role, such as staffing issues and truck delays. The end-to-end transit times will increase from a range of 15-30 days to 20-45 days.
Shipments from China to Europe in peaks will be delayed. The Golden Week in China, coupled with the labor stoppages in the UK ports, contributes to the labor tension and the decrease in trade. Maersk and MSC are calling off multiple sailings from China to Europe, indicating lower container demand in the coming time.
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