The International Longshoremen’s Association (ILA) and the United States Maritime Alliance (USMX) have reached a tentative agreement on a new six-year labor contract, effectively averting the threat of a coastwide port strike from Maine to Texas, originally set to begin on January 15.
In a joint statement, the two sides announced, “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 agreement aims to protect existing ILA jobs and establish a framework for modernizing East and Gulf Coast ports through the implementation of new technologies. This modernization is expected to increase job opportunities, improve safety and efficiency, and bolster supply chains.
However, the tentative deal still requires ratification by the ILA’s full Wage Scale Committee and USMX members. Specific details of the agreement will not be disclosed until the ratification process is complete.
In October 2024, the ILA and USMX had reached a preliminary deal on a 62% wage increase over six years for dockworkers, following a three-day strike that paralyzed US East Coast ports. This agreement, however, was contingent upon resolving other key issues, notably concerning automation and semi-automation, by the January 15 deadline, with the ILA maintaining the right to strike if unresolved.
Negotiations on these matters had faced significant hurdles. The ILA walked away from talks in mid-November, citing employer insistence on semi-automation. The union remained firm in opposing automation of jobs performed by its members.
Despite initial skepticism from shipping lines regarding an agreement before the deadline, the deal has now been reached. Several major carriers had already announced surcharges in anticipation of possible labor disruptions.
ILA President Harold Daggett credited the support of incoming U.S. President Donald Trump for helping secure the agreement. He emphasized that a December 12 meeting with President-elect Trump played a key role in negotiating protections against automation and reaching the tentative deal.
“The meeting with President-elect Trump was the chief reason the ILA was able to win protections against automation for his 85,000 members,” Daggett stated. “President Trump clearly demonstrated his unwavering support for our ILA union and longshore workers with his statement ‘heard ‘round the world’ backing our position to protect American longshore jobs against the ravages of automated terminals.”
For President Trump, the tentative deal avoids a potentially disruptive strike just days before his inauguration on January 20, 2025.
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