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

In a last-minute effort to avert a dockworker strike at U.S. East and Gulf Coast ports, the United States Maritime Alliance (USMX) has announced that both sides have exchanged wage-related offers, hoping to prevent the looming strike.

The current contract, which covers approximately 45,000 port workers across 36 ports, is set to expire at midnight tonight.

“The USMX increased our offer and has also requested an extension of the current contract, now that both sides have moved of their previous positions,” the USMX said in a statement issued late Monday afternoon. “We are hopeful that this could allow us to fully resume collective bargaining around the other outstanding issues – in an effort to reach an agreement.”

The USMX’s new proposal includes a nearly 50% wage increase, doubled employer contributions to retirement plans, and improved healthcare options. It also maintains “the current language around automation and semi-automation.”

Sounds like negotiations are in fact happening to keep the port strike from going down tonight at midnight ET.

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— Ryan Petersen (@typesfast) September 30, 2024

Despite these efforts, the International Longshoremen’s Association (ILA) appears poised to initiate a widespread strike starting at 12:01 am Tuesday.

In a statement earlier on Monday, the ILA accused the USMX of continuing “to block the path toward a settlement” by refusing the ILA’s demands over wages and automation, and alleged the employers’ group seemed “intent on causing a strike at all ports from Maine to Texas.”

The ILA statement cited USMX’s refusal to meet demands for a “fair and decent contract” as the primary reason for the strike. It also reiterated its criticism of ocean carriers represented by USMX, stating, “They want to make their billion-dollar profits at United States ports, off the backs of American ILA longshore workers, and take those earnings out of this country and into the pockets of foreign conglomerates.”

The union even accused shippers of “gouging their customers,” pointing to a dramatic increase in container shipping costs. “They are now charging $30,000 for a full container, a whopping increase from $6,000 per container just a few weeks ago,” the ILA said.

The potential work stoppage threatens to worsen already strained ocean supply chains, which have faced significant disruptions in 2024 due to conflicts in the Red Sea, drought in the Panama Canal, and the Baltimore bridge collapse.

Despite the high stakes, the Biden administration has indicated that the president does not plan to invoke the Taft-Hartley Act, which allows presidential intervention in labor disputes that create a national emergency.

This video is a few weeks old now but one thing to point out is that even if the Biden admin invokes Taft-Hartley forcing dockworkers back to work they will slowdown operations from “30 moves an hour down to maybe 8” pic.twitter.com/JlovqOrLLz

— Mike Schuler (@MikeSchuler) September 30, 2024

The Maritime Trades Department, AFL-CIO, on Monday expressed solidarity with the ILA, stating, “Rank-and-file ILA members have made many sacrifices, particularly in recent years, and they deserve a collective bargaining agreement that reflects their importance to our nation’s ports and to the U.S. economy.”

Read Next: East and Gulf Coast Ports Brace for Dockworker Strike as Midnight Deadline Approaches

Related Video – ILA Union President on a Potential Strike: “I Will Cripple You!”