Potential Port Strike Updates

The American Cotton Shippers Association remains concerned about the potential strike if the U.S. Maritime Alliance (USMX) and International Longshoremen’s Association (ILA) fail to reach an agreement ahead of the September 30 deadline. Below is some insight into the current status of negotiations from the National Retail Federation, as of July 25.

The ILA issued a new statement yesterday – In Multiple Communications with ILA Leadership, USMX Held Firm to Stingy Wage Offers Rejected by ILA Wage Scale Committee. Key points in the statement:

The stalemate remains in Master Contract negotiations because USMX continues to offer ILA longshore workers an unacceptable wage increase package.

“The blame for a coast wide strike in a week that will shut down all ports on the Atlantic and Gulf Coasts falls squarely on the shoulders of USMX,” added the ILA leader.

“Deceiving the public with misleading calculations is not going to help get an agreement with the ILA,” said President Daggett. “Even a $5.00 an hour increase in wages for each year of a six-year agreement, only amounts to an average annual increase of approximately 9.98 percent.”

Yesterday, the Port of New York/New Jersey issued a Potential Work Stoppage Operational Plan. Important notes in the plan:

It is important that you do everything possible to pick up your import cargo before close of business on Monday, September 30 as there will be no opportunities to deliver any cargo once a strike begins. This is particularly important for all refrigerated containers and any hazardous materials.  There will be no staff on terminal to monitor or adjust refrigerated containers left on terminal after Monday, September 30.

Export cargo will not be accepted at any of the terminals unless it can be loaded onto a vessel prior to Monday, September 30.  Coordinate closely with your ocean carrier on any export bookings as cargo will not be accepted at the terminals for vessels scheduled to arrive after September 30.

The last trains for imports and exports will be on Monday, September 30.

The Port of Virginia released its updated work stoppage impact plan yesterday.

Articles of Interest:

A Looming East Coast Port Strike Could Shake the Economy, NY Times (9/24)

US could ‘run out of bananas’ as port strike looms, Fruitnet (9/24)

FMC’s ‘shot across the bows’ warning over unfair D&D fees during strike, Lloyd’s List (9/24)

US Labor department reaches out to employer group amid possible port strike, Reuters (9/23)

Port workers could strike next week. The Virginia Port Authority has a plan., Virginia Pilot (9/23)

Port of New York and New Jersey potential work stoppage operational plan, American Journal of Transportation (9/23)

ILA contract negotiations: US supply chains brace for disruption, FreightWaves (9/23)

USMX says ILA won’t negotiate but union says employers resist wage, benefit & working condition improvements, American Journal of Transportation (9/23)

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