Strike at UK's Largest Container Port to 'Severely' Disrupt Supply Chain, Union Chief Admits

Industrial action by workers at Felixstowe – the UK's largest container port – comes on the heels of a strike by transport workers that practically paralyzed the operation of the London Underground on August 19. Strikes have also affected surface rail, trams, and buses amid the cost of living squeeze.

Eight-day strikes at the UK's largest container port, Felixstowe, in Suffolk, will see the supply chain "severely disrupted," the head of the Unite trade union acknowledged, according to Sky News.

However, Unite national officer Robert Morton also warned "there will be more strikes" if the almost 1,900 members of the union, including crane drivers, machine operators, and stevedores, who walked out of their jobs on August 21, fail to achieve their goals.

"The supply chain will be severely disrupted, I accept that. That's one of the unfortunate parts of things like this. It could be over this afternoon if the employer agreed to meet us for real-time negotiations. The last message they gave to us is that 'yes, we will meet you, but no, we will not move our position one inch.' That's the wrong approach," Morton said.

The union is demanding a pay rise of “between 7% and 12.3%" as "acceptable," in line with soaring inflation, which has hit 12.3%.

While the workers had previously been offered a 7% increase, as well as a £500 lump sum payment, by Felixstowe Dock and Railway, the offer from the port operator was described as "significantly below" the rate of inflation by Unite.

Furthermore, it was not put towards a vote by the trade union members as "at the beginning of the negotiations we asked them what they wanted and they said, 'we want you to go and negotiate and come back with at least the rate of inflation. If it's anything less than that, then don't bring it back'", Morton said.

According to Paul Davey, head of corporate affairs at the port, the deal only runs until the end of the year.

"On the first of January, there is another pay deal. So we can deal with future inflation next year. The deal we have offered them is a lot better than the vast majority of people are getting and also you know we're pleased and we are proud that we pay very well here at the port of Felixstowe," Davey was quoted as saying.

Earlier, Unite's general secretary, Sharon Graham, touted Felixstowe docks as “enormously profitable,” having made £61m in profits in 2020 and able to give workers “a decent pay raise.”

The Port of Felixstowe handles about 48% of container trade, and employs about 2,550 people, according to Unite. The industrial action has triggered fear of the potential impact on shipping companies.

"Longer term, if the situation isn't resolved, it's going to have a reputational impact both on ourselves as DFDS and the Port of Felixstowe as a safe operating zone and customers will look necessarily elsewhere," Mark Woodward, from DFDS Seaways, was quoted by UK media as saying.

Hauliers have warned of it all costing them “a stack of money,” and said that despite efforts to “minimize the damage,” it was inevitable.

The current industrial action follows a succession of other strikes. Action by transport workers practically paralyzed the operation of the London Underground on Friday.

Strikes have also affected surface rail, trams, and buses amid record inflation in the country. Annual inflation soared to a new 40-year high of 10.1% in July from 9.4% in June, according to the UK Office for National Statistics.