Hanjin’s decision to leave the Port of Portland on March 9, 2015, due to the sustained and deliberate actions of ILWU workers is a significant blow to the regional economy and will cause substantial disruption to many local businesses, workers and consumers. 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. With 20 years remaining on our 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. 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 Facts

In 2012, a high-ranking ILWU representative promised to send Terminal 6 carriers, including Hanjin, “packing” if ICTSI Oregon did not assign work to ILWU members that was controlled by the Port of Portland and historically performed by another union. Since that time, the ILWU has embarked on a long-standing and continuing campaign of work stoppages, slowdowns and safety gimmicks calculated to drive away the terminal’s customers and put ICTSI Oregon out of business. Two separate National Labor Relations Board judges have ruled against the ILWU for these actions, which violated federal labor law. Local federal judge Michael Simon also issued an injunction against ?continuation of the ILWU’s conduct, a court order that the union violated. This violation resulted in a December 16, 2014 ?order from Judge Simon finding the ILWU in contempt of court.?

Despite legal rulings against its subversive tactics, the ILWU’s campaign to drive Hanjin out of Portland has intensified. Productivity has slowed to a crawl, and ILWU gangs have walked off the job on numerous occasions. Vessels have been delayed time ?and time again by these tactics. As a result of the ILWU’s campaign, Portland has the lowest vessel productivity of any container terminal on the West Coast, and Hanjin has decided to cease its calls on Portland. The ILWU’s long-term campaign to undermine the success of Terminal 6 has now cost Portland a major economic contributor to our local economy and will ultimately risk the jobs of rank and file union members.

IOI is a subsidiary of ICTSI, an international operator of common-user container terminals serving the global container shipping industry. ICTSI is the largest port operator in the Philippines and has a portfolio of 29 container terminal operations in 21 countries across six continents.

The ports, business, and community leaders have been advocating for funding to complete the key freight routes of State Route 509 in King County and State Route 167 in Pierce County, which now are supported in both the new Senate proposal and the earlier proposal passed in the state House of Representatives.

“We want to thank lawmakers for their hard work and collaboration to develop this transportation package. It is critical for our ports to maintain a competitive edge and supports the Seaport Alliance,” said Port of Tacoma Commission President Don Johnson. “Completing state routes 167 and 509 will keep and grow jobs throughout Washington state.”

The Washington State Department of Transportation estimates a competed SR 167 could fuel job growth to the tune of $10.1 billion.

“Farmers, manufacturers and businesses of all sizes need an efficient gateway to reach global markets,” said Port of Seattle Commission Co-President Courtney Gregoire. “This package means jobs and economic development across our state, and we thank our senators and legislators for recognizing the need to invest in transportation infrastructure.”

According to studies commissioned by the Port of Seattle and cities of SeaTac and Des Moines, the completion of SR 509 will allow for development of over 5 million square feet of office, retail and commercial space totaling nearly $700 million in new construction.