More than 45,000 dockworkers on the U.S. East and Gulf Coasts have approved a new six-year contract, locking in higher wages, better benefits, and job security while avoiding a potential strike. A temporary deal was reached in October, and the final agreement between the International Longshoremen’s Association (ILA) and the United States Maritime Alliance (USMX) takes effect on October 1, 2024, and runs through September 30, 2030.
The contract raises workers’ base hourly pay from $39 to $63, a 62% wage increase over six years. This makes longshoremen among the highest-paid blue-collar workers in the country. The contract also accelerates wage growth for new hires, strengthens healthcare and retirement plans, and protects workers from automation—a major sticking point in negotiations.
ILA President Harold Daggett called it “the richest contract in our history”, emphasizing that the agreement avoids labor disruptions at ports handling over half of U.S. imports.
ILA members ratified the contract with 99% approval, a decisive show of unity after last year’s brief three-day strike that disrupted shipping and caused cargo backlogs. The contract will be formally signed on March 11.
Daggett credited the union’s strength in negotiations: “It was a tough contract to negotiate and even took a three-day coast-wide strike in October 2024. The ILA stayed strong and unified throughout and successfully won the greatest contract in ILA history.”
The agreement provides stability for shippers navigating ongoing global supply chain challenges, such as Red Sea disruptions and potential new tariffs. The deal also leaves the door open for future discussions on port modernization, but automation concerns remain a key issue for both sides.
USMX’s lead negotiator, Paul DeMaria, was praised for helping reach the agreement and preventing another strike. With the deal in place, both sides now look ahead to maintaining labor peace and ensuring smooth port operations through the end of the decade.