The latest news on the US East Pier strike! January 7 or “Final Negotiations”
Sunny Worldwide LogisticsIt is a logistics company with more than 20 years of transportation experience, focusing on markets such as Europe, the United States, Canada, Australia, and Southeast Asia. It is more of a cargo owner than a cargo owner~
Regarding the impending strike action at the US East Terminal, the latest news came recently: ILA and USMX will restart contract negotiations before the possible port strike deadline.
Negotiations between the International Longshoremen's Association (ILA) and port employers represented by the United States Maritime Alliance (USMX) are set to resume on January 7, just a week before the current contract extension expires on January 15, sources said A little more.
A person familiar with the talks said the decision to resume talks was unexpected and quickly agreed, adding that the two sides had been in informal talks for some time.
"They (ILA and USMX) have been in contact informally, as they do in situations like this," another source said, confirming that "negotiations will resume and the deadline is imminent."
Just days ago, liner operators including Hapag-Lloyd announced that container surcharges would come into effect in the event of a strike; a few weeks ago, President-elect Trump met with International Shipping Association President Harbin Harbin at his residence in Florida. Rod Daggett and his son, Dennis Daggett, executive vice president, and expressed support for the union.
"We hope both sides can actually reach an agreement. If not, they must extend it again to avoid a strike!" An article in X by Jonathan Gold, vice president of supply chain and customs policy at the National Retail Federation Zhong said.
There have been no formal talks since the ILA broke off talks in early November, saying the employer was trying to force automated container handling technology into new contracts to eliminate union jobs.
USMX responded that there is an urgent need for semi-autonomous cranes at terminals to improve efficiency and make U.S. ports globally competitive. Employers say the increased number of containers actually helps create more union jobs.
Trade groups have been calling for both sides to return to talks for months, even as logistics providers braced for the worst after a fraught year that included Red Sea shipping attacks and President-elect Donald Trump's Trump has threatened to impose tariffs that could restructure global supply chains.
In early October 2024, 45,000 ILA workers went on strike for three days, shutting down container handling and vehicle unloading activities at dozens of ports along the East Coast and Gulf. Biden administration officials helped broker an end to the strike, with both sides agreeing to a 16% pay increase on top of a new six-year prime contract and an extension to the current contract while resuming negotiations.
Sources said no federal officials are involved in the current negotiations.
ILA and USMX did not immediately respond to requests for comment.
Although both sides agreed to restart negotiations, it will not be easy to reach a consensus in a short time. Core issues such as wages and automation remain divisive, requiring in-depth discussions and a degree of compromise from both sides. If the negotiations fail to make substantial progress, or the two sides cannot agree on key terms, a strike seems "inevitable", which will have a serious impact on the U.S. economy, transportation, and global supply chains.
