A major strike at ports along the East and Gulf coasts has been averted after the International Longshoremen’s Association (ILA) and the U.S. Maritime Alliance (USMX) reached a tentative deal on a new six-year contract. The agreement was announced Wednesday, just days before the January 15 deadline.
The deal still needs to be ratified by union members and USMX representatives. The two sides will continue operating under the current contract until the votes are held. No dates for these meetings have been announced yet.
The ILA and USMX expressed satisfaction with the outcome in a joint statement. “This agreement protects current ILA jobs and establishes a framework for implementing technologies that will create more jobs while modernizing East and Gulf coast ports – making them safer and more efficient, and creating the capacity they need to keep our supply chains strong.”
Negotiations had stalled over port automation, and the union was concerned about job losses. Sources familiar with the deal said the compromise allows USMX to introduce technology while guaranteeing specific jobs tied to the new equipment. The technology committee, which includes union and port representatives, will oversee future technology decisions.
ILA President Harold Daggett and his sons, Dennis and John, played key roles in these discussions. The union had previously gone on a three-day strike in October but resumed work after securing a promise of a 62% wage increase over six years. Wednesday’s deal resolves all remaining issues, including automation.
The agreement avoids a shutdown of ports from Maine to Texas, which could have had a significant economic impact. “This is a win-win agreement that creates ILA jobs, supports American consumers and businesses, and keeps the American economy the key hub of the global marketplace,” the joint statement said.
While details of the contract remain under wraps, the deal’s approval would mark the end of months of contentious talks and ensure stability for thousands of workers and the supply chain.