Key Events Leading up to the Looming US Port Workers Strike

Negotiations Stalled Between ILA and USMX as Strike Deadline Approaches

Talks between the International Longshoremen’s Association (ILA), representing 45,000 dockworkers, and the United States Maritime Alliance (USMX) have reached a stalemate over wage disputes, just ahead of a critical deadline on September 30 for a new contract agreement.

The ILA, which comprises workers at 36 ports along the U.S. East Coast and the Gulf of Mexico, has issued a warning of a potential strike starting October 1. Should the members decide to walk out, it would mark the first coastwide strike by the ILA since 1977.

These ports handle more than half of the U.S. ocean trade, and a significant work stoppage would disrupt transportation schedules, delay shipments across various industries, and lead to increased shipping costs. Consequently, such a strike could result in shortages and higher prices for consumers.

Timeline of Events Leading to Potential Strike:

• May 13, 2024: The ILA and USMX announce their intent to start negotiations after May 17, aiming to establish a new agreement before the expiration of their current six-year contract on September 30.

• June 10, 2024: The ILA pauses negotiations due to disagreements centered on automation, after discovering that certain terminals were implementing an Auto Gate system allowing trucks to be processed without labor.

• June 11, 2024: USMX comments that a few matters require additional discussions at the local level and expresses willingness to resume talks.

• July 12, 2024: ILA President Harold Daggett warns that the likelihood of a strike on October 1 is increasing, attributing this to contract violations by some USMX members that led to the cancellation of negotiations.

• August 23, 2024: The USMX reports challenges in arranging meetings with the ILA to continue negotiations.

• September 5, 2024: Nearly 300 ILA delegates unanimously support President Daggett’s call for a strike on October 1 if no agreement is achieved.

• September 23, 2024: The ILA indicates that, despite recent discussions with USMX, negotiations are stalled over wage issues, with the employer group still presenting an "unacceptable wage increase package."

• September 24, 2024: The White House states it will not intervene to facilitate negotiations between the two parties.

• September 25, 2024: Agricultural groups urge the White House to take action to prevent the potential strike.

• September 26, 2024: The USMX files a charge with the National Labor Relations Board, alleging unfair labor practices, to compel the ILA to return to the bargaining table.

• September 29, 2024: President Joe Biden announces that he does not plan to step in to avert the looming port strike.

As the deadline approaches, the situation remains tense, with significant implications for national trade and consumer goods if a resolution is not reached.