Automation Remains a Critical Concern in Longshore Negotiations
Dockworkers have returned to work at ports across the East and Gulf coasts, but their union has cautioned that significant issues regarding automation still need to be addressed before the current contract extension expires in early 2025.
Major terminals reopened on Sunday to resume container handling after a three-day strike by 45,000 members of the International Longshoremen’s Association (ILA), which halted import cargo and left dozens of ships anchored outside ports from New England to Texas.
If the strike had persisted for a full week, up to 1 million twenty-foot equivalent units of cargo could have been stranded outside the ports.
The ILA ended its work stoppage late Thursday after tentatively agreeing to a 62% pay raise with port employers who are members of the United States Maritime Alliance (USMX). With assistance from Biden administration officials, both parties agreed to extend the latest master contract through January 15 and resume negotiations for a new six-year agreement. Key issues on the table include benefits, container royalties, and the union’s demand to prohibit automation technology at 14 container handling facilities across 36 ports.
“Securing a significant wage increase is an important aspect of the contract, but we must also safeguard our historical work jurisdiction and prevent automation from taking over jobs,” said President Harold Daggett in a message to union members on the organization’s website.
USMX terminal operators and shipping lines have expressed that they align with the union concerning technology-related issues.
However, ratification of a new contract by the ILA members is not guaranteed; a similar situation recently unfolded when 33,000 workers on strike at Boeing rejected a tentative agreement with the largest aerospace manufacturer in the U.S.
