Hong Kong International Terminals, subsidiary of Hutchison International, operates the port with a number of directly employed staff supplemented by employees hired via four subcontractors. Subcontractors – who are not genuinely independent companies – are intermediaries used to put distance between HIT and workforce, to hold down wages and provide operational flexibility. The CTU insisted that it would refuse to talk with individual contractors, and would talk only if all the contractors were present. A second round of talks between striking dock workers and the contractors, mediated by the Labour Department, ended without agreement on 11 April, but both sides said they would consider each other's proposals. Another negotiation failed to reach agreement on 12 April. The two unions present at the meeting were the Federation of Trade Unions, whose members are not on strike, and the
Federation of Hong Kong and Kowloon Labour Unions, representing the Hong Kong Docks and Ports Industry Unions whose 300 workers are employed directly by the port operator, HIT, and who were staging a
work-to-rule. The FTU says it will not accept a five percent pay-rise and a two percent increase in welfare benefits. The two unions insisted on 12 percent. On day 18 of the strike, Hongkong International Terminals issued a statement declaring optimism that operations were returning to normal, with "more workers returning to their posts". HIT said that the terminal was running at 86 to 90 percent handling capacity over the previous weekend. The union rejected the claim that some strikers had returned to work, saying their 450 striking colleagues had reduced terminal handling capacity to 15 containers each hour instead of 25 before the strike began. However,
The Standard noted some signs of a drift back to work over the previous five days. On 17 April, another round of talks between striking dock workers and the employers made little progress as the contractors rejected the 23-percent wage increase demanded by the CTU and stood firm of their seven-percent pay rise proposal. After the talks failed on 17 April, CTU members escalated their industrial action by setting up camp outside the
Cheung Kong Center, where the Hutchison Whampoa Group is headquartered. Global Stevedores, a contractor who employs fewer than 200 dock workers, However, the workers regard this closure as a move calculated to put pressure on them. HIT's advertisement in the English-language press said union demands for a 20 percent raise would "create an impact across other industries and cause irreparable damage to Hong Kong." Workers took out advertising space in
Ming Pao Daily with a headline suggesting that Li Ka-shing did not really understand their situation. After 40 days of strike action, the union called an end to the dispute, having secured promises of a pay deal of 9.8 percent for all workers including non-strikers and improved working conditions. ==Strike consequences==