Montevideo Port labor conflict prompts government consideration of essentiality decree

The Uruguayan government is considering declaring the labor conflict at the Terminal de Cuenca del Plata (TCP) in the Port of Montevideo as an ‘essentiality’ matter. This measure, which would allow for government intervention to ensure port operations, remains a last resort to resolve ongoing disruptions that have halted activity for 33 days this year.

President Yamandú Orsi recently met with leaders from various business chambers, including the Confederación de Cámaras Empresariales, to discuss competitiveness, logistics, and the port situation. During the meeting, business representatives noted that the state has the power to declare essentiality, which could lead to job losses for workers who persist in strikes.

While the Presidency has not ruled out the decree, officials like Secretary Alejandro Sánchez emphasize the importance of maintaining dialogue to prevent further escalation. Meanwhile, the Ministry of Labor and Social Security, acting as a mediator, has expressed concerns that relying solely on such decrees could undermine collective bargaining and long-term solutions.