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What to know about ILA demands in potential port strike

East and Gulf Coast ports face first work stoppage in nearly 50 years

Container truck lines like this one at the Port of Houston could disappear if the ILA strikes Oct. 1. (Photo: Jim Allen/FreightWaves)

It was 1977 since the last strike by the International Longshoremen’s Association, which represents unionized workers at ports on the U.S. East and Gulf coasts. The United States Maritime Alliance (USMX), representing 40 ocean carriers and terminal operators, has successfully negotiated 10 straight master contracts without a work stoppage with the ILA.

The current six-year agreement covers approximately 45,000 port workers employed in container and roll-on/roll-off operations at ports from Maine to Houston and runs through Sept. 30.

The ILA has threatened a strike as of Oct. 1, when the current contract expires. 

The union in June canceled bargaining over what it claimed was employers’ use of technology that bypassed union labor. The sides have not met since.


Here are the top issues being discussed. Neither side has confirmed exact details:

  • A wage increase higher than the reported 32% recently won by the International Longshore and Warehouse Union.
  • Retention of existing technology language from the 2018 contract.
  • A higher starting wage.
  • What employers call “premier” health care benefits.
  • Higher employer retirement contributions.

The master contract guides subsequent local agreements at 14 ports on the East and Gulf coasts.

The latest impasse to talks is a claim by the ILA that Danish operators APM Terminals and Maersk Line were using gate technology to process trucks autonomously at the Port of Mobile, Alabama, bypassing union labor. Employers say the gates have been in operation since 2008, prior to the 2018 contract.

Moreover, in recent videos, ILA leaders have assured that they currently have full automation protection and certain semi-automation job protections. 


Other reports said the ILA is also looking for a 77% pay hike, and union President Harold Daggett was reported to have rejected a 40% increase.

Neither side has commented publicly on the reports.

Ominously, Daggett in videos has also referred to a global alliance of port workers that could be mobilized as of Oct.1. It’s unclear what international support this has garnered.

In late August, the ILA and USMX each filed a Notice to Mediation Agencies, known as Form F-7, with the Federal Mediation & Conciliation Service (FMCS). The purpose of filing these notices is to inform the FMCS of a dispute between the parties, but it does not represent an agreement for mediation.

“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 employers said in a release. “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.”

7 Comments

  1. Jason

    Greedy: rejecting 32% increase offer, (as well as 40%) and holding out for a 70% based on what? performance?

    If anyone of us owned a company, and their workers were holding out work after rejecting a 40% pay increase, and unwillingness to get with the times and accept automation, I wonder what we would do.

  2. MA Bush

    If the ILA succeeds in getting a 77% wage increase, the average worker will make $140,000 /year. Where do I sign up for that?
    They want pay equal to their West Coast counterparts, while the majority of their ports are in MUCH lower cost of living areas. (Savannah, New Orleans, Mobile, Houston). Failing to use the best, most current technology will only make the U.S. weaker and less competitive in world trade.

  3. David

    Machines do not feed families. Machines do not pay taxes. The evolve notion sounds great. If Longshoremen loose their jobs, maybe they can go work the check out lines at Home Depot, oh wait those jobs are gone too. Did you ever think that the world is becoming AI and Automated too fast. Do you trust Goverment or Greedy corporations to provide for you once the entire job market vanishes overnight. Evolve sounds fair, but evolve to what, everything is being gobbled up. By the time you reach this realization, it’s all gone. Man over machine. This is the beginning of the war! I support Longshoremen and any other human labor under attack!!!

  4. R Rodriguez

    Technologies, and processes evolve – the world turns, you can’t stop it. The Union should be expected to evolve and innovate as well, while still protecting the interest of their members. It is entirely one dimensional, and instantiable to withhold technology. It’s not about eliminating the work force, it’s about efficient processing and solving problems. Should we chuck the computer and go back to pencil and paper?

  5. Clevis

    So, let me get this straight — a company, who is beholden to shareholders, can lower costs by using technology rather than humans, but the union doesn’t like that, and wants to freeze the use of technology to have extra people working. I’m sorry, but this is not the fault of a company. The union is asking for a kind of welfare. It’s very sad that efficiencies, technology, and other things makes people less “valuable,” but this happens every day in the white in white collar world. When accounting rules change, and accountants don’t know them or software does it better, they lose their jobs. We must evolve and constantly learn new skills to keep our jobs — we have no unions, no recourse if we are old and the new kids understand how to use certain computers or whatnot. I come from a union family, but they seem to have had a noble purpose 50-100 years ago. It’s beyond me why a trade person today cannot prove their value like anyone else who has to stay employed without the use of a union. Very sorry, but the special privilege’s of blue collar workers escapes me. If one chooses to be a Longshoreman, go in with your eyes open; it may not last. If you are a lawyer who chooses to go into M&A, you may lose your job when the economy goes kaput, like the majority do when the economy sucks. No unions. Nobody to pay your mortgage. Nothing. Evolve or die. It’s horrible but that’s the way the world works in today’s fast paced society. It’s tough out there, but it’s not the companies’ fault. People who hold their stock are also living had to mouth, and if they found out the company was throwing money away hiring more people than it needs to keep a union happy, I’d eagerly vote to bust the union. If you haven’t noticed, the socialists have let in about 20 million illegals to take your job. Be thankful you have one.

  6. LORNE OVERTON

    THESE GREEDY CORPORATE COMPANIES DON’T GIVE A DAMN ABOUT THE WORKERS ALL THEY CARE ABOUT ARE PROFITS. IF IT HAD NOT BEEN FOR THE WORKERS YOU WOULDN’T HAVE MADE THOSE PROFITS YOU UNGRATEFUL DISGUSTING LOW DOWN VERMON SCUM

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Stuart Chirls

Stuart Chirls is a journalist who has covered the full breadth of railroads, intermodal, container shipping, ports, supply chain and logistics for Railway Age, the Journal of Commerce and IANA. He has also staffed at S&P, McGraw-Hill, United Business Media, Advance Media, Tribune Co., The New York Times Co., and worked in supply chain with BASF, the world's largest chemical producer. Reach him at stuartchirls@firecrown.com.