An impending strike at East and Gulf Coast ports has been averted following a tentative agreement between the dockworkers' union and their employers. The International Longshoremen’s Association (ILA) and the United States Maritime Alliance (USMX) announced the deal on Wednesday night, resolving issues concerning automated cargo-moving machinery and job security.
The six-year Master Contract awaits approval from USMX employer members and the union's rank-and-file before details are released. According to a joint statement by ILA and USMX, "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."
The agreement is described as beneficial for all parties involved. "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," stated the joint announcement.
Last October, tens of thousands of dockworkers went on strike over wage increases but left automation-related issues unresolved. The workers returned under a contract extension with a deadline set for January 15 to finalize these matters.
New Jersey's business community expressed relief at the tentative deal. A potential second strike could have halted billions in trade, disrupted supply chains, and increased inflationary pressures. NJBIA President & CEO Michele Siekerka remarked, "We are thrilled that ILA and USMX have reached this essential agreement as it appears to not only be a win-win for the sides involved but also for the businesses and consumers who would have otherwise been greatly impacted by any work stoppage at our ports."
Siekerka emphasized New Jersey ports' importance: "Our New Jersey ports proudly serve as our gateways to goods that make up our way of life every day." She added that maintaining strong supply chains is crucial to avoiding past pandemic-era backlogs.
