US dockworkers suspend ports strike until January
The union representing tens of thousands of dockworkers across the U.S. has decided to pause its strike as negotiations are ongoing.
Members of the International Longshoremen’s Association (ILA) began their strike on Tuesday, affecting 14 major ports along the East and Gulf Coasts and disrupting container traffic from Maine to Texas.
The union reports that a tentative agreement on wages has been reached, allowing workers to return to their jobs on Friday. They will remain on duty until January 15, when they plan to reconvene to discuss “all other outstanding issues.”
This strike was the first of its kind in nearly 50 years and posed significant risks for disruptions during the busy holiday shopping season and the upcoming presidential election.
The union had been calling for a 77% wage hike, while USMX had previously increased its pay rise offer to almost 50%.
The strike started on Tuesday after negotiations failed to produce a new six-year contract.
The walkout, involving tens of thousands of workers, was the ILA’s first major stoppage since 1977.
The affected ports included some of the nation’s busiest, including in New York, Georgia and Texas. They are estimated by experts to handle more than a third of US imports and exports.
Businesses had been bracing for the possibility of a prolonged shutdown, which threatened to disrupt global trade and the US economy.
Some firms had been building up supplies as warnings of the strike circulated over the summer.
Many consumers had also been fearful and were stocking up on some supplies, like baby formula and toilet paper.
US President Joe Biden applauded the tentative agreement in a Thursday evening statement, saying it “represents critical progress toward a strong contract”.
“I congratulate the dockworkers from the ILA, who deserve a strong contract after sacrificing so much to keep our ports open during the pandemic,” Biden said.
“And I applaud the port operators and carriers who are members of the US Maritime Alliance for working hard and putting a strong offer on the table.”
Biden noted the need for ports to be open to “ensure the availability of critical supplies” for those hit by Hurricane Helene, which has left more than 200 people dead in the US south-east.
Under the 2018 contract that expired on Monday, dockworkers earned a base hourly wage of $20-$39, as well as other benefits, including royalties linked to container traffic.
Harold Daggett, head of the ILA, demanded companies agree to boost hourly pay by $5 for each year of the contract.
The union, which has about 47,000 active members according to federal filings, is also seeking protections against automation.