The International Longshoremen’s Association (ILA) and the United States Maritime Alliance (USMX) have reached a tentative agreement for a new six-year master contract, avoiding a potential work stoppage scheduled for January 15, 2025. The two sides have agreed to continue operating under the current contract until the union can meet with its full wage scale committee to schedule a ratification vote, and USMX members can approve the final terms of the agreement.
The agreement aims to protect existing ILA jobs while providing a framework for implementing technologies to modernize East and Gulf Coast ports. This modernization is expected to increase safety and efficiency at the ports, and improve capacity to strengthen supply chains. Details of the agreement have not been released to allow ILA and USMX members to review and approve the final document.
The tentative deal follows a previous agreement in October for a 62 percent wage increase over the next six years.
However, discussions on the automation of port operations remain unresolved, with further negotiations anticipated on this issue. The future of automation in port operations continues to be a point of contention, and solutions may emerge from ongoing talks.
With the strike threat averted, industry stakeholders now turn their attention to other challenges, including geopolitical tensions, the upcoming Chinese New Year, and the launch of new shipping alliances such as Gemini and Premier.
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