Michael Sainato 

US dock workers agree on deal with port operators to end strike

International Longshoremen’s Association announces agreement for wage hike and immediate work resumption
  
  

Men hold up signs
Dock workers in Seabrook, Texas, on Tuesday. Photograph: Kirk Sides/AP

The US ports strike that shut down shipping on the east and Gulf coasts for three days came to an end on Thursday after dock workers struck a tentative deal with port operators.

The International Longshoremen’s Association (ILA) announced that the union had reached an agreement with the United States Maritime Alliance (USMX) on wages, suspending their walkout until January. Work would resume immediately, the union said.

The strike – which involved 45,000 workers across 36 ports, from Texas to Maine – was the first to hit the east and Gulf coast ports of the US since 1977.

The tentative agreement is for a wage hike of around 62%, a source familiar with the matter told Reuters. Both sides said in a statement they would return to the bargaining table to negotiate all outstanding issues.

Concern had been mounting about the potential economic impact of the strike, and the threat of shortages. JP Morgan analysts estimated the walkout could cost the US economy as much as $5bn a day.

After it emerged that the strike had ended, Joe Biden told reporters: “By the grace of God and goodwill of neighbors, it’s going to hold.”

“Today’s tentative agreement on a record wage and an extension of the collective bargaining process represents critical progress towards a strong contract,” the US president said in a statement. “I want to thank the union workers, the carriers, and the port operators for acting patriotically to reopen our ports and ensure the availability of critical supplies for Hurricane Helene recovery and rebuilding.

“Collective bargaining works, and it is critical to building a stronger economy from the middle out and the bottom up.”

Kamala Harris also praised the agreement, echoing Biden’s sentiment about the power of collective bargaining.

“As I have said, this is about fairness – and our economy works best when workers share in record profits. Dockworkers deserve a fair share for their hard work getting essential goods out to communities across America,” Harris said in a statement.

Negotiations between the ILA and USMX had broken down in June after the union accused USMX of violating the contract by introducing automation at some ports.

Both sides had accused the other of refusing to bargain, with the ILA demanding significant wage increases in line with the profits the industry has made in recent years.

Among the outstanding issues left in the contract that will be negotiated before the current contract extension until 15 January is the union’s seeking improved protections against automation in ports. The union opposes the introduction of automation that would result in any job losses.

The launch of a strike so soon to the election prompted scrutiny of key figures’ political views. The ILA president, Harold Daggett, faced questions about his relationship with Donald Trump, while the Guardian uncovered social media posts by David Adam, chair and CEO of USMX, that were staunchly critical of Democrats.

 

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