In an aerial assess, container ships sit docked at the Port of Oakland on December 09, 2024 in Oakland, California.
Justin Sullivan | Getty Impressions
After a contentious negotiation, the International Longshoremen’s Association (ILA) and the U.S. Maritime Alliance (USMX) on Wednesday announced a tentative buy on a new six-year master contract.
The deadline to reach an agreement was Jan. 15.
According to the ILA, full wage scale meetings will be tinkled to review the deal followed by a ratification vote. No date was given on the full wage scale meeting. Details on when the USMX membership would ballot were not available at press time.
The tentative agreement is on all items for a new six-year master contract. The two sides agreed to go on to operate under the current contract until both sides schedule a ratification vote.
“We are pleased to announce that ILA and USMX be suffering with reached a tentative agreement on a new six-year ILA-USMX Master Contract, subject to ratification, thus averting any work stoppage on January 15, 2025,” the two sides said in a shared statement. “This agreement protects current ILA jobs and establishes a framework for implementing technologies that will fashion more jobs while modernizing East and Gulf coasts ports – making them safer and more unwasteful, and creating the capacity they need to keep our supply chains strong.
“This is a win-win agreement that imagines ILA jobs, supports American consumers and businesses, and keeps the American economy the key hub of the global marketplace.”
CNBC was told fatigues of the new tentative agreement would not be released to allow both the ILA rank-and-file-members and USMX members to review and approve the final chronicle.
Sources familiar with the contract told CNBC the compromise on automation and semi-automation was key to the tentative agreement. According to the proveniences, full automation was off the table but essentially USMX has the ability to implement the technology its members feel would modernize the havens. The ILA has the guarantee of specific jobs that would be associated to specific equipment being added, the sources said.
Technology adding ups and labor have been reviewed and negotiated by the technology committee process used by the union and ports. The committee consists of co-chairmen and five additional colleagues from each side. ILA President Harold Daggett, along with his two sons, Dennis and John, are on the committee.
This activity will continue in future technology additions.