Title: East and Gulf Coast Ports Face First Work Stoppage in Nearly 50 Years
The last strike involving the International Longshoremen’s Association (ILA), which represents unionized workers at East and Gulf Coast ports, occurred in 1977. Since then, the United States Maritime Alliance (USMX)—representing 40 ocean carriers and terminal operators—has successfully negotiated ten consecutive master contracts without a work stoppage.
The existing six-year agreement, effective until September 30, covers about 45,000 workers engaged in container and roll-on/roll-off operations spanning from Maine to Houston. However, the ILA has threatened to strike as soon as the contract expires on October 1.
In June, the union halted negotiations, citing employers’ reliance on technology that allegedly circumvents union labor. Since that time, both sides have not held any discussions.
Key issues under negotiation include, but are not limited to:
- A wage increase surpassing the reported 32% recently achieved by the International Longshore and Warehouse Union.
- Maintenance of existing technology provisions from the 2018 contract.
- A higher starting wage.
- Enhanced “premier” health care benefits as defined by employers.
- Increased employer retirement contributions.
The master contract provides the framework for local agreements across 14 ports along the East and Gulf coasts. A recent sticking point in negotiations involves the ILA’s claim that Danish firms APM Terminals and Maersk Line are utilizing gate technology at the Port of Mobile, Alabama, to process trucks autonomously, thus bypassing union labor. Employers claim this gate technology has been operational since 2008, predating the 2018 contract.
Additionally, ILA leaders have publicly stated that they currently enjoy full automation protection alongside job protections against certain types of semi-automation.
Some reports suggest the ILA is seeking a 77% pay increase, while union President Harold Daggett has reportedly rejected a proposed 40% hike. However, neither party has publicly confirmed these figures.
Daggett has ominously mentioned a potential global alliance of port workers that could be activated as of October 1, but details regarding any international support remain unclear.
In late August, both the ILA and USMX submitted Notices to Mediation Agencies (Form F-7) to the Federal Mediation & Conciliation Service (FMCS) to announce the ongoing dispute. This filing does not indicate an agreement for mediation but serves to inform the FMCS of the conflict.
In a statement, USMX expressed its commitment to resuming negotiations with the ILA before the current agreement lapses, aiming to avert a strike. Conversely, they noted that the ILA seems poised to initiate strike action and urged the union to reopen dialogue to share their present contract demands so that both parties can work towards a new agreement, as they have successfully done for nearly half a century.