Dockworkers at East and Gulf coast ports ratified a six-year contract on Tuesday, avoiding a potential strike that threatened to disrupt the U.S. economy. This agreement, reached between the International Longshoremen’s Association (ILA) and the U.S. Maritime Alliance, was approved by nearly 99% of union members.
The newly approved contract includes a substantial 62% pay increase over six years, raising top union hourly wages from $39 to $63. The agreement was deemed the ‘gold standard’ by ILA President Harold Daggett, who praised the challenging negotiations that necessitated a brief strike last fall. The contract not only secures labor peace but also addresses the contentious issue of automation on U.S. docks, allowing ports to modernize with technology while ensuring new worker hires and prohibiting full automation.
The agreement reflects broader trends in the global shipping industry, where automation is a significant point of contention. While ports in Rotterdam, Dubai, and Singapore have embraced automation, U.S. ports lag behind due to labor concerns. Consultant Brian Lynch notes that the contract’s provisions on technology signify a cautious step towards modernization. President Donald Trump has previously expressed skepticism about automation, citing its adverse effects on American workers.
The finalized contract is set to be signed in mid-March, ensuring stability for the U.S. ports. This development is crucial for maintaining the flow of goods and controlling costs for American businesses. As the industry navigates technological advancements, the balance between modernization and job security remains a pivotal issue.
Article Source: US dockworkers approve 6-year contract, averting a strike | AP News
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