Union Work Stoppage Threatens Closure of East Coast Gateway and Multiple Ports
The Port of New York-New Jersey, the second-busiest container port in the U.S., has advised shippers to prepare for a slowdown in cargo operations just days before a strike deadline set by union dockworkers. In a letter addressed to customers, Port Director Bethann Rooney outlined operational plans as strike preparations commence.
The International Longshoremen’s Association (ILA), which represents 25,000 members involved in container and roll-on/roll-off services, has announced that union members will strike once their current master contract with port employers represented by the United States Maritime Alliance (USMX) ends at midnight on October 1. This agreement impacts workers at approximately 36 ports from Maine to Texas, managing around $92 billion in freight annually.
Currently, no contract negotiations are scheduled, with major sticking points reportedly involving wages, benefits, and port automation.
Last Monday, the union criticized the latest wage proposals as “stingy” and refuted USMX’s claims that the ILA is pushing for a more than 75% wage increase over a proposed six-year contract. Specifics regarding contract proposals remain largely undisclosed, and neither the ILA nor USMX provided comments when contacted on Tuesday.
In her letter, Rooney emphasized the urgency for shippers to collect their import cargo before the close of business on September 30, stating, “There will be no opportunities to deliver any cargo once a strike begins.” She also mentioned plans to implement an Incident Management Team during the work stoppage but did not provide additional details.
Rooney further stated that export cargo would not be accepted at the terminals unless it could be loaded onto a vessel before September 30. Shippers are advised to coordinate closely with their ocean carriers regarding export bookings, as cargo will not be accepted for vessels arriving after that date.
The port is urging shippers to prioritize the pickup of refrigerated containers and hazardous materials, noting that these will not be monitored or adjusted after September 30. She warned of heavy congestion expected toward the end of the week and on September 30, recommending that shippers retrieve their containers as early as possible and take advantage of all available gate hours.
Terminal operators, including APM Terminals, Maher, and Port Newark Container Terminal, will extend their gate hours. The last scheduled trains for imports and exports are on Monday, with the final CSX train arriving at the port on Sunday. Meanwhile, Norfolk Southern has announced gate closures across several ports, advising shippers to seek alternative plans for transporting hazardous, high-value, and refrigerated shipments to avoid unexpected delays.
Please note that the port’s Truck Service Center will remain closed for the entire duration of the work stoppage.
This article has been updated to clarify that 25,000 ILA union members in container and roll-on/roll-off services are covered by the master contract at 36 East Coast and Gulf Coast ports.