By Leah Cruz
Staff Writer
The International Longshoremen’s Association (ILA) reached a tentative agreement with the United States Maritime Alliance (USMX) on Oct. 3, 2024 that includes a 62% wage increase over six years for U.S. port workers.
The agreement followed a three day strike by port workers from Maine to Texas that halted shipping along the east coast as well as the Gulf coast. The union’s previous contract with the USMX had expired at midnight on Oct. 1, marking the beginning of the massive strike with over 45,000 participants, according to AP News.
The strike, which lasted three days and affected 36 U.S. ports, was the union’s first since 1977, Reuters reported. Workers formed picket lines at ports including Philadelphia, New York and New Jersey, with many holding signs that said, “No work without a fair contract.”
CNBC reported that unwinding the congestion of the strike and returning U.S. ports to normal operations may take a minimum of three weeks.
Harold J. Daggett, president of the ILA, has been leading the union since 2011 and is a third-generation dockworker. According to a New York Times video, Daggett spoke to port worker strikers in Elizabeth, N.J. about the history they are making and the reason for the strike.
“We are fighting for our families and we are fighting for their rights so that we have a right to get a piece of that money that they got so much of,” said Daggett. “And we’re going to do it. We’re going to walk away with a great contract.”
While the new master contract with the USMX included a wage increase, concerns about automation technology remain unresolved. Dock workers around the nation are worried about the development of automated technologies, such as gates, cranes and container-moving trucks, putting them out of jobs.
“The ILA is steadfastly against any form of automation—full or semi—that replaces jobs or historical work functions,” the ILA wrote in a statement. “We will not accept the loss of work and livelihood for our members due to automation. Our position is clear: the preservation of jobs and historical work functions is non-negotiable.”
According to the AP, many picketers held signs with messages that read, “Automation Hurts Families: ILA Stands For Job Protection.”
This agreement marks the end of major shortages of goods and blockages of container ships that caused congestion in supply chains. NYT reported that perishable goods especially, were at risk during the strike as close to “three-fifths of annual container trade goes through the East and Gulf Coast ports.”
The White House sided with the ILA, with President Joe Biden expressing his gratitude for port workers and commending their efforts in contributing to the U.S. economy during the COVID-19 pandemic. In a statement made on Oct. 3, Biden pushed for the USMX to provide the ILA with a strong contract, commenting on the impact of collective bargaining.
“Collective bargaining works, and it is critical to building a stronger economy from the middle out and the bottom up,” he said in his statement.
The tentative agreement is a significant step forward in the labor negotiations of ILA union members, but it is not the end. Peter Sand, the chief shipping analyst at Xenata — a supply chain intelligence firm — says that “shippers are not out of the woods just yet” as automation technology discussions continue and USMX extends the master contract to January 15, 2025, pending a final agreement.
