On October 4, the International Longshoremen’s Association said it is suspending its three-day strike until Jan. 15 to provide time to negotiate a new contract, as reported by AP.
The union reached a tentative agreement on wages with the U.S. Maritime Alliance. Workers' salaries will be increased 62% over the next six years.
“I applaud the longshoremen who do such important work and deserve to be valued for it, and the companies for the critical role they play in our supply chain and for recognizing the invaluable contributions of their workers,” said Acting Secretary of Labor Julie Su.
Eric Hoplin, CEO of the National Association of Wholesaler-Distributors (NAW), released the following statement:
“We’re pleased that the International Longshoremen’s Association (ILA) and the United States Maritime Alliance (USMX) have reached a tentative wage agreement, pausing the strike and reopening our ports. While the extended contract through January 15 allows time for further negotiation, key issues like port automation remain unresolved. Additionally, as ports clear the backlog in the coming weeks, businesses and consumers will still feel the strain of increased inflationary costs.
This strike underscores a critical need for reform. No single union should have the power to cripple our economy. Our labor laws, written in a different era, should reflect today’s interconnected supply chain. Manufacturing, transportation, warehousing, and distribution are all essential to our national security, and our policies should recognize their vital role in sustaining the flow of goods and services.”
Issue of Automation
The other issue on the table is that of automation. The union has asked for the complete ban on the use of automation at the ports, which workers view as a threat to their livelihood.
“We've got to keep fighting automation and semi-automation,” ILA’s leader, Harold Daggett, told a group of workers during the strike outside the Maher terminal in Elizabeth, New Jersey, as they held signs reading “Machines don't feed families” and “Fight automation, save jobs,” as reported by Reuters.
According to the GAO (US Accocuntability Office) in a report issued on March, 19, 2024, all ten of the largest container ports are using some form of automation technology. At least one terminal per port, uses technology to track container movements. Four also use automated cargo handling equipment to load, unload, and move containers.
The report offered the following conclusion:
U.S. and international port stakeholders agreed that automation technologies can improve worker safety by separating humans from machines and can reduce emissions by improving efficiency. However, they reported mixed effects on the workforce, security, and performance. For example, a few terminal operators said automated equipment could stack containers more densely than conventional equipment, increasing capacity; others said this equipment moved containers more slowly than conventional equipment, reducing performance. Similarly, a few stakeholders said automation can reduce jobs; others said automation can create more comfortable work environments and new, higher-skilled positions.
The union is drawing a line between safety and job replacements. “We’ll accept technology that allows jobs to be safer and more efficient,” ILA vice president Dennis Daggett told picketers on the strike line on Thursday, as reported by NJ Spotlight News. “But we’re never ever going to support automation that displaces our workforce. Robots over people, hell, no! We’re never going to accept that.”