A tentative agreement gives every indication that an East and Gulf Coast port strike has been averted.
In a joint statement, the ILA and USMX, the maritime organization that operates the ports, noted:
The International Longshoremen’s Association and United States Maritime Alliance have reached a tentative agreement on all items for a new six-year master contract. The two sides agreed to continue to operate under the current contract until the union can meet with its full Wage Scale Committee and schedule a ratification vote, and USMX members can ratify the terms of the final contract.
They noted that the tentative agreement averts any work stoppage on January 15, the set deadline for final negotiations. They added that the 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 maintain a strong supply chain.
Automation had been a sticking point in the negotiations and required further discussions after an earlier agreement was reached on wages and related issues.
In commenting on the agreement, National Retail Federation vp of supply chain and customs policy Jonathan Gold maintained that the new contract would forestall port disruption and ensure retail goods arrive in a timely manner for consumer needs.
“The agreement will also pave the way for much-needed modernization efforts, which are essential for future growth at these ports and the overall resiliency of our nation’s supply chain,” he said.
In December, NRF sent a letter signed by more than 260 groups, including the International Housewares Association, to the ILA and USMX urging them to return to the negotiating table.
