East Coast port strike averted with new contract agreement
By onAnnouncements
The International Longshoremen’s Association (ILA) and United States Maritime Alliance (USMX) announced Wednesday a tentative agreement for a new six-year master contract.
The current contract will remain until the union can meet with its full Wage Scale Committee and schedule a ratification vote, a press release says. USMX members also must ratify the terms of the final contract.
“We are pleased to announce that ILA and USMX have reached a tentative agreement on a new six-year ILA-USMX Master Contract, subject to ratification, thus averting any work stoppage on January 15, 2025,” a press release says. “This agreement protects current ILA jobs and establishes a framework for implementing technologies that will create more jobs while modernizing east and gulf coast ports — making them safer and more efficient, and creating the capacity they need to keep our supply chains strong.”
A tentative agreement on wages extended the contract until Jan. 15 following a three-day strike in October by ILA members.
Terms of the deal were not disclosed. However, ILA members returned to work in October after agreeing to a 62% wage increase for the next six years, according to multiple media sources.
During the strike, the Alliance for Automotive Innovation (Auto Innovators) asked the White House to “broker a resolution,” Reuters reported.
“A protracted strike will be debilitating to the auto supply chain and set off economic and national security ripples across the country — harming auto communities and consumers,” said John Bozzella, Auto Innovators CEO, when the strike started.
He told Reuters that the ports handle 34% of all U.S. motor vehicle and parts trade. This was worth $135.7 billion the prior year.
President Biden released a statement Wednesday praising the agreement.
“Collective bargaining plays an important role when it comes to building a strong economy from the middle out and the bottom up,” the statement says. “Today’s tentative agreement between the International Longshoremen’s Association and the United States Maritime Alliance shows that labor and management can come together to benefit workers and their employers.
“I applaud the dockworkers’ union for delivering a strong contract. Their members kept our ports open during the pandemic, as we worked together to unsnarl global supply chains. Thank you to the carriers and port operators who play an essential role in our nation’s economy.”
IMAGES
Featured image: Aerial view of Port Newark and Elizabeth, New Jersey shipping and logistics area from airplane window, New York. (Credit: Alexander Shapovalov)