A work stoppage would involve roughly 18,000 workers, and cost Indian exporters nearly $15 million daily
Indian shippers are braced for major supply chain disruption after dockworkers call for strikes at key ports, claiming the government is still falling short of commitments.
“An indefinite strike”
The unions confirmed “an indefinite strike” should the government fail to implement wage revisions and productivity schemes before 15 December.
“Lethargic attitude” toward the contract
The unions highlight that workers have been receiving “ad hoc” wages since a contract expired in 2021. They accused the Ministry of Ports, Shipping and Waterways of having a “lethargic attitude” toward the contract and the workers before the agreement was reached in September after three years of negotiations.
Terms to end the labour dispute.
Now, the union says the Indian Ports Association has delayed for two months taking action on the memorandum that set terms to end the labour dispute.
Minimize impacts from the strike.
The container shipping giant is “in close communication with all relevant parties” to notify shippers of how to handle cargo planning and minimize impacts from the strike. Apparel and textiles businesses will be waiting over the next 10 days with bated breath if a strike takes place. After all,
India is the fifth-largest apparel exporter
It is noteworthy that India is the fifth-largest apparel exporter in the world, after China, Bangladesh, Vietnam and Turkey, according to data from the World Trade Organization (WTO). India’s textiles and apparel exports increased by 3.8 percent to $14.7 billion between April and August 2024, according to India’s Ministry of Commerce and Trade.
Wage revisions
If the Indian government fails to enforce the IPA to implement initially agreed upon conditions including wage revisions and a productivity-based reward plan by Dec. 15, the dockworkers say they will walk off the job two days later. A work stoppage would involve roughly 18,000 workers, and cost Indian exporters nearly $15 million daily, according to The Hindu Business Line.
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