East and Gulf Coast Ports Brace for Dockworker Strike

Update: Last-Minute Negotiations Underway as Major U.S. Port Strike Looms

As the International Longshoremen’s Association (ILA) and the United States Maritime Alliance (USMX) face a contract expiration deadline, major ports along the East and Gulf Coasts are implementing contingency plans to mitigate the impact of a potential strike.

The work stoppage, scheduled to begin at 12:01 am on Tuesday, October 1, 2024, could affect 85,000 ILA members and 36 ports handling over 40% of U.S. containerized goods.

The strike comes at a critical time for ocean supply chains, which have already experienced significant disruptions in 2024 due to geopolitical conflicts, such as the Red Sea crisis, and natural disasters, like the drought in the Panama Canal. These factors have contributed to a 300% increase in average spot freight rates from the Far East to the U.S. East Coast between December 2023 and early July 2024.

Key East and Gulf Coast ports, including New York and New Jersey, Savannah, Houston, Philadelphia, Virginia, Miami, and Jacksonville, have announced detailed plans to manage operations leading up to and during the work stoppage. These plans generally include extended gate hours, special provisions for reefer and hazardous cargo, and clear timelines for the cessation of various port operations.

The Port of New York and New Jersey, for instance, will close all container terminals beginning Tuesday, October 1, with no loading or discharge of containers to or from vessels, trains, and trucks. Similarly, the Georgia Ports Authority has outlined specific measures for imports, exports, and reefer cargo at the Port of Savannah, emphasizing the importance of early cargo retrieval to minimize disruptions.

Port Houston has announced that if a work stoppage occurs, its container terminal gates will be closed. The port is providing daily updates and has detailed its operations plan for the days leading up to September 30.

The Port of Virginia has developed a comprehensive “Cessation of Operations Plan,” which includes a step-by-step timeline for halting cargo operations across its facilities on September 30.

PortMiami is preparing for the potential work stoppage while ensuring continued safe and secure operations for all port users. The port has designated First Amendment Zones for peaceful expression and picketing by ILA members.

JAXPORT in Jacksonville expects the strike to impact about one-third of its business, particularly international container and vehicle volumes. However, the majority of its Puerto Rico cargo and administrative functions will continue normally.

Most ports have emphasized that they will not charge for storage or demurrage during the work stoppage, and many are keeping reefer units connected to power, albeit without monitoring.

As negotiations continue, ports remain hopeful for a resolution. The Port of Virginia stated, “Our hope is that both parties return to negotiations and reach a mutually beneficial agreement that allows for the resumption of operations.”

With both sides still far apart in negotiations and the Biden administration signaling that the president won’t invoke the Taft-Hartley Act—a federal law that could intervene in labor disputes—the duration of any strike remains highly uncertain. 

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