In an aerial view, a container ship is docked at the Port of Oakland on May 20, 2022 in Oakland, California.
Justin Sullivan | Getty Images
A crucial port workers’ union is moving a scheduled daytime work stoppage on June 20 at the already congested port of Oakland in California, just days before the union’s contract expires.
The Oakland chapter of the International Longshore and Warehouse Union, or ILWU, announced that its work stoppage meeting would be moved from the night shift to the day shift. According to a document obtained by CNBC, the first shift from 8 a.m. to 5 p.m. PT would be closed. Operations will resume at the port at 6:00 p.m.
A port official told CNBC the change was made so that black longshoremen can celebrate the June 19 holiday, which is June 19, a Sunday, but will be widely observed on June 20.
The shutdown is bad news for already struggling supply chains. The day shift is much busier than the evening shift, according to truckers familiar with the port. According to the CNBC supply chain heatmap, the Port of Oakland is the worst performing port for the movement of import containers – an average of 9.5 days.
Port workers were notified of the change in an email Friday morning.
The ILWU did not immediately respond to CNBC’s request for comment. The contract is due to expire on July 1.
The timing of this meeting change worries logistics experts.
“Given the slowing rate of growth of the US economy, interruptions to the flow of exports are never a good thing,” said Alan Baer, CEO of shipping company OL USA. “We need all sides of the supply chain to work, as this optimizes the short- and long-term outlook for everyone involved.”
The Port of Oakland has also seen a drop in exports and recently announced a partnership with the USDA to provide financial assistance to agricultural exporters.