Holts Lie Behind Del Monte’s Union-Busting At Port

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BY JOE SHAHEELI/ The sudden action by Fresh Del Monte Products, Inc. to sever its contract with the International Longshoremen’s Association Local 1291 and pull its incoming ships to a “below union wage” pier in Gloucester City hasn’t come as a surprise to the unions and terminal operators familiar with the operations of the Holt family.

The Holts, whose affiliation with the ports of Philadelphia and South Jersey spans over four decades, have made it obvious they seek to control all the major shipping terminals servicing the Ports of Philadelphia and Camden.

One of their trademarks has been their continued efforts to reduce union involvement on the piers. The latest outburst came over Labor Day weekend, when hundreds of members of ILA Local 1291 staged a protest against Fresh Del Monte Products., Inc., one of the world’s largest food brands, by dumping dozens of Del Monte pineapples into the Delaware River at Penn’s Landing near the conclusion of Philadelphia’s annual Labor Day Parade.

The union was demonstrating over the international food conglomerate’s plans to terminate its 20-year relationship with Local 1291 and instead employ unskilled “scab” labor associated with an unrecognized union, Dockworkers Local 1 at the New Jersey dock. Over 200 family-sustaining ILA jobs will be lost according to Local 1291 Business Manager Boise Butler.

He said, “For 20 years, ILA Local 1291 has enjoyed a good working relationship with Del Monte. Now, virtually out of nowhere, they informed us that they plan to end our agreement as of Oct. 1, 2010. What makes their betrayal even worse is our International Union met Del Monte’s demand for $6 million in contract concessions, yet it is apparent this wasn’t enough. They turned around and dumped us anyway. That’s why we are urging the public to boycott all Del Monte products.”

Fresh Del Monte markets fresh fruits, fresh vegetables and fresh produce under the Del Monte brand. It is not related to Del Monte Foods Co., which markets a wide variety of canned and processed foods also under the “Del Monte” brand.

“The public needs to be aware,” Butler continued. “Del Monte is saying they’re simply giving the business to another union, when, in reality, Dock Workers Local 1 is a sham union. They pay their unqualified workers slave wages and little or no benefits.”

Butler noted, “The Teamsters, with whom this rogue group was initially associated, has since severed ties with them. It’s a union-busting scam. Del Monte is trying a similar union-busting tactic in other large US ports.”

As a “call to action” to invite public support of its efforts, ILA Local 1291 is launching a new website – www.dumpdelmonte.com – where the public can learn more about the issue.

The Gloucester Terminal is operated by the Holts, who provide office space to Local 1. Reduced wages make it more profitable for the terminal operator and those shipping lines using that facility.

Del Monte is obviously seeking low-wage employees. It is already advertising on Craig’s List offering supervisory jobs at its facility in Gloucester, N.J. for salaries ranging from a low-low $8.50 an hour, going up to $10. This is more than a reduction by half of legitimate union wages.

It has added a “must” stipulation to its help-wanted listing. Potential “employees must be bilingual,” the other language understood to be Spanish. The ad reports, “Hours are from 7 a.m. to 5 p.m. but must be flexible … with the employee willing to work overtime.” Union officials suspect many hired will be “illegals”.

The Holt family has been the beneficiary of strong public funding since it was awarded a sweetheart contract to run Packer Terminal, presently the city’s busiest and largest. It was negotiated and signed into existence by the administration of the late Gov. Bob Casey, Sr.

Since then, it has benefitted from the efforts of the Commonwealth and a State agency, the Philadelphia Regional Port Authority, both of which are committed to insuring the Port here remains the Commonwealth’s “gateway to the world”.

Hundreds of millions of dollars have gone into refurbishing the piers owned and managed by PRPA, which several years ago spent over $15 million to purchase two panamax cranes to enable Packer Terminal to speed the loading and unloading of huge container ships.

The dredging now underway has brought about an increase in shipping lines eyeing and discussing contracts with the PRPA to bring more ships here. Benefiting again is the Holt family.

The Holt family, through one of its many corporations, recently wrote to PRPA Executive Director James T. McDermott it wished to acquire Tioga Terminal, which is efficiently operated as a total union facility by Delaware River Stevedores.

Several years back, the Holts, using their long-term relationship with Gov. Ed Rendell, attempted to take over Tioga Pier, popularly known as the “Fruit Pier” since it docks two or more ships weekly laden with Chilean fruit during the winter season.

After strong union and public opposition, the Governor approved the renewal of DRS’s lease.

The Holts continue to be seen as an anti-organized-labor force in the port by the ILA and other unions. This is confirmed, they report, by its continued support of non-union gangs in Philadelphia and especially so on the New Jersey side.

The Holts proposed to Gov. Jon Corzine they be given control of port operations in Camden, Salem, and Paulsboro, replacing the South Jersey Port Corp.

Martin Mascuilli, secretary-treasurer of Local 1291, charged, “Local 1 was set up by the Holts in 1993 at the Gloucester Terminal, which sits on a 124-acre site.”

Mascuilli said, “They brought in scabs and put hundreds of people out of work. It is not good business to give somebody that much power.”

The Holt family, which employs about 1,000 people on both sides of the river, has a lock on key piers on the New Jersey side of the river and operates the Packer Avenue Terminal in South Philadelphia, which presently is this city’s largest.

The South Jersey Port Corp. owns about 300 acres of prime real estate in Camden which is coveted for upscale waterfront housing, recreation and marine services.

That port corporation employs about 140 direct workers, though it generates thousands of jobs for shippers, longshoremen and truckers.

Thomas J. Holt, Sr. staked his claim in Gloucester City in 1967 when he bought half the site of the former New York Shipbuilding Co. The State bought the rest, across the border in Camden, and turned it over to South Jersey Port Corp.

With a heavy infusion of public money from New Jersey and the Feds, Holt expanded the half-mile waterfront property into one of the larger refrigerated and dry-warehouse facilities on the East Coast.

The family hopes to expand operations on either side of Packer Avenue as that terminal has benefitted from PRPA efforts to increase demand from international trade. It has made known it wants to be the key player in the new Southport Terminal, which has been carved from river frontage along the former Naval Base in South Philadelphia.

In August, Tom Holt, Jr., wrote PRPA stating Packer is under severe capacity restraints and requesting assistance in looking for additional alternative acreage. Outside of Southport, which is at least five years away from being developed for terminal use, the only terminal suitable immediately would be Tioga.

Sailing wasn’t always smooth for the Holts. When the now-defunct Holt Group filed for bankruptcy in 2001, it reported annual revenues over $300 million and more than $350 million in debt.

The Holts lost ownership of the Gloucester Terminal in bankruptcy, along with holdings in Puerto Rico and Wilmington, Del. It bought the Gloucester Terminal back from bondholders and its corporate headquarters has a 99-year lease on a former Coast Guard building.

The ILA understands total Holt control over the Terminals in the Ports of Philadelphia and South Jersey will lead to the eventual disenfranchisement of legitimate port-related unions.

Philadelphia was declared a military strategic port by the Defense Dept. after much lobbing by its unions and political leadership. After that designation, the ILA developed training programs for its rank and file so they could easily and without delay load and unload military cargoes of all descriptions.

Boise Butler, whose union is among the largest along the River, said, “Unionism provides well-trained longshoremen and women while guaranteeing wages well above the slave rates now being proposed by Del Monte.”

The ILA hopes the public will join them in a boycott of Del Monte products. Its label is seen on fresh and canned fruits and includes a number of top-selling pet foods, including Meow Mix, Milk-Bone, Kibbles ’n Bits, Gravy Train, Nature’s Recipe and Pup-Peroni.

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9 Responses to Holts Lie Behind Del Monte’s Union-Busting At Port

  1. This is another tatic that’s being used to bring about modern day slavery by big companies making all profits with no concern of the people they employ and their families.Keep up the struggle, your fight will not be in vain!! GOD Bless you all!!!

    albertha flowers
    September 12, 2010 at 6:54 am

  2. Thank you for this informative article!

    Union busting…is disgusting! >:O

    Sam
    September 15, 2010 at 8:07 pm

  3. You guys fell right into Jim Paylor’s hands. He is turning you into b@#$^es for NY. See what he did to us with the container line and now trying to chase what little container business we have back to NY. When are we going to wake up to this???? It is time to get the convicts out of the port labor movement and all of the pieces around it.

    Teddy Gleason
    September 21, 2010 at 9:40 am

  4. glt workers start at 15/hr and now with the new contract 60-80 hours weekly or more bringing home 1000 after taxes. not bad for scabs…

    Shaun
    September 21, 2010 at 12:47 pm

  5. The real question is what happens when you google ILA Corruption. You come up with lots of fun stuff. Whe are we going to clean house and start with someone who cares about us? 1291 chased away a customer from our operation today and everyone stood by and let it happen.

    Teddy Gleason
    September 21, 2010 at 3:03 pm

  6. @ Shaun: you won’t be making that $1000. a week for long, the non english speaking people will be doing your job soon enough. You SCAB!!!!!!!!!!!!!

    Larry
    September 28, 2010 at 7:42 pm

  7. Also @ Shaun, if your SCAB pier organized when we tried to. If you were working 80 hours @ a real wage you would be making $2266.00 a week. No one wants you guys to not have jbs, we just want everyone to get paid what we are worth. These jobs are very dangerous, and workers should get paid a good wage!!! They have you brain washed that what they are doing is O.K.!!!!

    ILA JOE
    October 28, 2010 at 7:31 pm

  8. Big buisness is trying to turn the whole world into their sweatshop.
    When you have lost all your working rights, the right to a safe workplace, the right to a fair days pay for a fair days work, the right to fulltime secure employment, what the bloody hell are you going to be left with?? A scary thought, what rights that our forefathers fought so hard for will be left for the kids? We don’t want to be working for a below minimum wage, Working in unsafe environments, Losing retirement, health, holiday, sick entitlements.
    Workers shouldn’t be the first thing to suffer under “spending cuts” “streamlining” and other such jargon for greed. Why don’t these fat cats take a little less so everyone is getting a their fair cut in the equasion.
    Stay strong ILA!!!
    Tam.
    Australia.

    Tam
    April 2, 2011 at 12:38 am

  9. Pingback: What’s At Stake in the Longshore Workers’ Battle | Talking Union

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