Dock workers on the East and Gulf Coasts are preparing to walk off the job if The International Longshoremen’s Association union and the United States Maritime Alliance can’t negotiate a new contract with shipping companies by October 1.
“Due to the ILA’s repeated refusal to come to the table and bargain on a new Master Contract, USMX filed an Unfair Labor Practice (ULP) with the National Labor Relations Board and requested immediate injunctive relief — requiring the union to resume bargaining — so that we can negotiate a deal,” USMX said in a release.
The ILA union and the USMA trade organization representing port operators, remain at odds in their talks. The main issues are worker pay and plans to automate certain container operations.
The NLRB filing would not affect the strike deadline. According to the NLRB’s website, an initial investigation would determine whether a complaint should be issued against the ILA, which would then have 10 days to respond at a formal hearing.
“USMX has been clear that we value the work of the ILA and have great respect for its members. We have a shared history of working together and are committed to bargaining.”
According to supply chain intelligence firm Kpler, 147 vessels (a combination of container ships and roll-on/roll-off vessels) are en route to the East Coast and Gulf ports by Oct. 1, with 38 of those vessels headed to the Port of NY/NJ. The total carrying capacity of the inbound vessels is 686,181 twenty-foot equivalent container units. The value of that freight is upward of $34.3 billion, based on an MDS Transmodal estimate of $50,000 per container.
The 14 ports under ILA contract are Boston, New York/New Jersey, Philadelphia, Wilmington, Baltimore, Norfolk, Charleston, Savannah, Jacksonville, Tampa, Miami, New Orleans, Mobile, and Houston.
Shippers are working on a plan to put export shipments on trains to West Coast ports – should the ILA’s members go on a prolonged strike at ports that stretch from Maine to Texas and handle about half of U.S. ocean trade.
Any charges caused by a slowdown or complete closure as of October 1, 2024 including, but not limited to, demurrage, detention, storage, chassis, etc. will be passed through to the customer after making mitigation efforts for the charges.
Our team is prepared to support you through the challenges of these labor actions. Please reach our website, jsconnor.com, for updates.
