Lean times usually always teach us something and in Spain it can be seen that dock labour is beginning to get to grips with the reality that healthy pay rises and as much overtime as you can have are a thing of the past.
Not only is Spain one of the countries in Europe hardest hit by recession but in Tanger Med, the new Moroccan transhipment base, it has an example of how quickly lines will defect to a much lower cost site and one where they are at last getting the level of service that they want.
The transformation within the Spanish container handling industry from the boom times of recent years to the current downturn in traffic volumes – over 20% in a number of the major ports – is marked and this alone is progressively serving to deliver up to labour a major reality check.
On top of this, however, Tanger Med has demonstrated to Spanish port labour the determination of liner companies to seek out lower cost centres of operation and to enjoy higher efficiency levels. Why pay more to undertake transhipment operations in Spain when instead of being presented with 20+ moves/hr over the quay you can pay much less in Morocco and be the beneficiary of 30+ moves/hr?
And the cost differential is not just a few points: labour, for example, in Morocco costs around one eighth of the salary of a typical dockworker in Spain. Hence the reason why big name lines such as Maersk and CMA CGM have taken major equity positions in the new terminal developments at Tanger Med and why the second round of terminal development there has also been enthusiastically subscribed to by the liner sector.
These are the sort of fundamental realities that Spanish dock labour now has to confront.
Contrast this, however, with the recent efforts of the main Spanish port union to extend its coverage in terms of areas of work and you do really begin to think that while the workforce may begin to sense that significant change is in progress that the union leadership are still living in the past.
They too must respond to the new market conditions in a proactive way.
On top of this, however, Tanger Med has demonstrated to Spanish port labour the determination of liner companies to seek out lower cost centres of operation and to enjoy higher efficiency levels. Why pay more to undertake transhipment operations in Spain when instead of being presented with 20+ moves/hr over the quay you can pay much less in Morocco and be the beneficiary of 30+ moves/hr?
And the cost differential is not just a few points: labour, for example, in Morocco costs around one eighth of the salary of a typical dockworker in Spain. Hence the reason why big name lines such as Maersk and CMA CGM have taken major equity positions in the new terminal developments at Tanger Med and why the second round of terminal development there has also been enthusiastically subscribed to by the liner sector.
These are the sort of fundamental realities that Spanish dock labour now has to confront.
Contrast this, however, with the recent efforts of the main Spanish port union to extend its coverage in terms of areas of work and you do really begin to think that while the workforce may begin to sense that significant change is in progress that the union leadership are still living in the past.
They too must respond to the new market conditions in a proactive way.