Businesses affected by port dispute considering relocation

LONG BEACH, Calif. (KABC) -- A tentative contract between shippers and longshore workers was celebrated at the ports Monday.

Yet, many people up and down the supply chain are still hurting from the labor dispute. One of those locations was Mega Toys in Commerce. About 700 laborers were affected and some lost more than half of their wages in the last four months, according to CEO Charlie Woo.

"Many workers had more days off than they had working, so it's been very tough," he said.

Mega Toys needs imported items to assemble novelties ordered by Walmart stores across the country. Even though the dockworkers and shippers have a tentative pact, Woo said the company has missed deadlines and lost millions. Since the port is still in a snag, he wonders if it's time to relocate.

"As we plan the future, do we take our merchandise somewhere else? Like to the south or the east coast ports instead of going through L.A.," Woo said.

At a news conference aboard the USS Iowa Tuesday, officials urged business to stay.

Mayor Eric Garcetti said the local ports are positioned to deliver goods to market a week faster than other ports.

The officials joined the dock workers and shippers to send a message that the port is on the upswing. Capital improvements are underway to streamline operations, and the ports are seeking a new model for negotiations and more cooperation between Long Beach and the Los Angeles harbors.

"We have to broaden the party's perspectives to get things in place now," Garcetti said.

Business operators like Woo are weighing their options. The shippers estimate it will still take three more months to sort out the port backup.

Woo said he does not want to move his business, but he is fed up with disruptions that happen when every five-year contract expires.

"We have to protect ourselves if this happens again," he said.