The International Longshoremen's Association (ILA), after cutting off contract talks in mid-November 2024, reached a tentative agreement late on Jan. 8 on all items for a new six-year Master Contract with United States Maritime Alliance (USMX).
"After four days of talks in Teaneck, N.J., on a new master contract that included side discussions on the impact of new technology on longshore jobs, broader talks restarted on Jan. 7 that covered benefits and specific longshore crafts such as checkers and clerks," the Journal of Commerce (JOC) reported.
Shippers had already begun to take precautions in the event a strike took place.
JOC reported on the morning of Jan. 8 that Norfolk Southern Railway (NS) had "begun to wind down accepting export containers for movement from inland terminals to key ports along the U.S. East Coast ahead of a possible longshore strike next week. CSX Transportation, the other eastern Class I railroad hauling containers between the Midwest and East Coast, had not issued any deadlines to in-gate containers, but said it will adjust if a strike occurs."
Container companies also began preparations, with Maersk urging shippers to act fast, according to Translogistics (TLI) in a Jan. 2, 2025, article on their website. "The company has advised customers to clear their containers from U.S. Eastern Seaboard and Gulf Coast ports in anticipation of a potential longshore strike. Maersk has also asked shippers to return empty containers ahead of the contract expiration date."
Now, shipping groups can breathe a sigh of relief.
On its Facebook page late on Jan. 8, the International Longshoremen's Association (ILA) said, "they have reached tentative agreement with United States Maritime Alliance (USMX) on all items for a new six-year Master Contract."
"We are pleased to announce that ILA and USMX have reached a tentative agreement on a new six-year ILA-USMX Master Contract, subject to ratification, thus averting any work stoppage on January 15, 2025," the two sides said in a joint statement. "This agreement protects current ILA jobs and establishes a framework for implementing technologies that will create more jobs while modernizing East and Gulf coasts ports -- making them safer and more efficient and creating the capacity they need to keep our supply chains strong."
ILA added, "This is a win-win agreement that creates ILA jobs, supports American consumers and businesses, and keeps the American economy the key hub of the global marketplace."
Details of the new tentative agreement will not be released to allow ILA rank-and-file-members and USMX members to review and approve the final document.
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.
Read the joint statement on USMX website: https://www.usmx.com/…
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