USMX Ready to Resume East/Gulf Coast Labor Negotiations

 

After promising not to negotiate the next labor contract for East and Gulf Coast longshore members in the media, both sides are restoring to public statements as a strike looms. Nearly half of all U.S. imports would be impacted with carriers and shippers warning of massive disruptions and spreading consequences to the supply chains. The deadline is September 30.

The United States Maritime Alliance representing the employers including carriers, terminal operators, and port associations, of the East and Gulf Coast longshore industry, responded to the International Longshoremen’s Association saying it wants to resume negotiations that have been stalled since June. Outreach to the ILA they contend has been rejected.

“USMX remains committed and prepared to resume negotiations with the ILA on a new Master
Contract before the current agreement expires and to avoid a strike,” the association said in its September 5 response to the longshore union. “The ILA continues to strongly signal it has already made the decision to call a strike and we hope the ILA will reopen dialogue and share its current contract demands so we can work together on a new deal, as we have done successfully for nearly 50 years.”

The employers assert that they have offered, “Industry leading wage increases,” as well as increases to employer retirement contributions, higher starting wages, and continuation of premier health care coverage. On the critical issue of automation, the USMX says it has offered, “Retention of the existing technology language in our current agreement, which already formalizes that there will be no fully-automated terminals and no implementation of semi-automated equipment or technology/automation
without agreement by both parties to workforce protections and staffing levels.”

The ILA refused to discuss the specifics of its demands in public while saying it is “far apart,” and at an “impasse” with USMX. They want wages to address inflation past and present as well as protection for the future while also enhancing benefits. The union has a firm stance against automation with a rumored position seeking rollback on some of the existing provisions.

Shippers and carriers are becoming increasingly pessimistic about a possible agreement before the September 30 expiration of the existing contract. Some reports suggest that carriers are considering alternatives. Speaking about the last strike in 1977, ILA President Harold Daggett recalled how they were permitted to picket in California to stop cargo from being diverted to alternate ports. He credited that with ending the months-long strike.

“Our offer demonstrates a willingness by our members to reach a new deal before the end of this
month,” said USMX. Daggett however in his public comments said it “might be time” to show the power of the union to win a better contract for members.