By AFP
October 3, 2024
An agreement between the International Longshoremen's Assocation (ILA) and the United States Maritime Alliance (USMX) extended operations at US ports until January 15, 2025, ending a three-day strike - Copyright AFP Mark Felix
Julie CHABANAS
US dockworkers will return to work after a three-day strike at East and Gulf Coast ports after the union and port operators reached a tentative deal on pay and extended the current contract to January 15, both sides said Thursday.
The International Longshoremen’s Association (ILA) had launched a work stoppage early Tuesday after negotiations with the United States Maritime Alliance (USMX), which represents shipping companies and terminal operators, came to an impasse.
The strike — which involved 45,000 workers, according to the ILA — paralyzed 36 ports from Maine to Texas, which handle an array of goods from food to electronics.
But Thursday evening, the two sides announced in a joint statement that they had “reached a tentative agreement on wages and have agreed to extend the Master Contract until January 15, 2025 to return to the bargaining table to negotiate all other outstanding issues.
“Effective immediately, all current job actions will cease and all work covered by the Master Contract will resume.”
The statement did not offer terms of the deal, but The Wall Street Journal, citing sources close to the matter, said USMX had proposed a 62 percent salary increase over six years, which allowed the deal to be reached.
The strike was the first walkout by the union since 1977 after negotiations stalled over union demands for significant wage increases and protection against automation-related job loss.
US President Joe Biden — who had been under pressure to intervene in negotiations to keep ports open, but had demurred citing respect for collective bargaining rights — celebrated the suspension of the strike late Thursday.
“I want to thank the union workers, the carriers, and the port operators for acting patriotically to reopen our ports and ensure the availability of critical supplies for Hurricane Helene recovery and rebuilding,” Biden said in a statement.
“Collective bargaining works, and it is critical to building a stronger economy from the middle out and the bottom up.”
Outside the White House, Biden added: “They’ve got the next 90 days, they are going to settle everything.”
Republican former president Donald Trump, who is seeking to take back the Oval Office, had blamed Biden for the crisis, saying Tuesday in Milwaukee: “He should have worked out a deal.”
– Crisis averted –
Analysts had cautioned that a lengthy strike could pose a major headwind to the US economy, leading to shortages of some items and lifting costs at a time when inflation has been moderating.
Oxford Economics had estimated that the strike would dent US gross domestic product by $4.5 billion to $7.5 billion per week, with the overall impact depending on how long the strike lasts.
But Capital Economics said fears about the economic impact of the strike were “overdone,” in part because recent shocks to the supply chain have made businesses more aware of the need to bake in precautionary measures.
The strike arrived at a politically precarious time, just one month before the US presidential election on November 5, but the tentative agreement relieves the political pressure.
US dockworkers return to ports after three-day strike
New York (AFP) – Thousands of dockworkers returned to work Friday, the day after a longshoremen's union reached a preliminary deal with shippers, ending a three-day strike weeks before the US presidential election.
Issued on: 04/10/2024 -
Wage hikes
The stoppage involved some 45,000 workers at 36 facilities.
The contract pertained only to 14 large ports, including New York/New Jersey, Philadelphia, Boston, Savannah, Miami and Houston. However, additional workers at ILA-represented facilities in the region joined the stoppage.
The talks centered on wages and ILA efforts to prevent job loss due to automation. ILA leaders argued that a big wage hike was merited after dockworkers kept the economy running during the pandemic, boosting shipper profits.
Dockers end three-day strike at Montreal port
By AFP
October 3, 2024
Dockworkers at the port of Montreal have ended a partial three-day strike as planned - Copyright AFP/File Sebastien ST-JEAN
Dockworkers at the port in Montreal, the second-largest in Canada, ended a partial three-day strike as scheduled on Thursday, officials confirmed, with both sides summoned to mediation.
The work stoppage by 320 dockers at two Montreal terminals came as tens of thousands of US longshoremen walked off the job this week at major East and Gulf Coast ports.
“The three-day strike is over,” Isabelle Pelletier, spokeswoman for the Maritime Employers Association, told AFP.
A federal mediator has summoned both sides to a meeting on Friday.
Each day of the Montreal strike put Can$91 million (US$67 million) worth of economic activity at risk, the port authority said.
It said Thursday that 11,500 containers had been blocked or delayed because of the strike, creating “supply chain backlogs, delivery delays and additional costs for businesses and consumers.”
A spokeswoman for the port authority, Renee Larouche, said it would work “to ensure a return to normal (operations) as quickly as possible.”
The port handles most of Canada’s container traffic with the European Union.
Transport Minister Anita Anand said this week that the port was “critical to our supply chains” and urged both sides to “return to the table and put in the work needed to get a deal done.”
Their last meeting to negotiate a collective agreement was on September 26.
Michael Murray of the Port of Montreal Longshoremen’s Union accused the employer of refusing “to come to the negotiating table to find solutions.”
Pelletier said the Maritime Employers Association is hoping for a “lasting agreement that takes into account reality in order to work collectively to bring stability and cargo back to Montreal.”
New York (AFP) – Thousands of dockworkers returned to work Friday, the day after a longshoremen's union reached a preliminary deal with shippers, ending a three-day strike weeks before the US presidential election.
Issued on: 04/10/2024 -
A man walks along a pier in Bayonne as cranes are visible at Port Newark in New Jersey, on October 4, 2024, where a port strike ended © Bryan R. SMITH / AFP
At the Port of Mobile in the southern state of Alabama, on the Gulf Coast, terminal operator APM resumed operations at 7 am local time (1200 GMT), the company said online.
The Port of Virginia in Norfolk on the East Coast said it will reopen Saturday, planning "extended weekend gate hours" for terminal operators.
"We ask that our motor carrier partners be patient," the port said.
At the giant Port of New York and New Jersey, the second-largest container port in the United States after Los Angeles and Long Beach, the Port Liberty terminal in Bayonne plans to resume work on Monday morning.
The staggered reopening covers US ports from Maine to Texas following Thursday night's preliminary agreement between the International Longshoremen's Association (ILA) and the United States Maritime Alliance (USMX). Workers had walked out Tuesday morning with the expiration of their contract.
The parties "reached a tentative agreement on wages and have agreed to extend the Master Contract until January 15, 2025," said a joint statement.
"Effective immediately, all current job actions will cease and all work covered by the Master Contract will resume."
The strike was the first involving these ports since 1977.
Talks between the two sides had been dormant for months. But negotiations resumed Monday as the contract's expiration deadline approached.
In recent days, Acting Labor Secretary Julie Su and other Biden administration officials urged the parties to hash out differences and called on USMX to boost its offer.
At the Port of Mobile in the southern state of Alabama, on the Gulf Coast, terminal operator APM resumed operations at 7 am local time (1200 GMT), the company said online.
The Port of Virginia in Norfolk on the East Coast said it will reopen Saturday, planning "extended weekend gate hours" for terminal operators.
"We ask that our motor carrier partners be patient," the port said.
At the giant Port of New York and New Jersey, the second-largest container port in the United States after Los Angeles and Long Beach, the Port Liberty terminal in Bayonne plans to resume work on Monday morning.
The staggered reopening covers US ports from Maine to Texas following Thursday night's preliminary agreement between the International Longshoremen's Association (ILA) and the United States Maritime Alliance (USMX). Workers had walked out Tuesday morning with the expiration of their contract.
The parties "reached a tentative agreement on wages and have agreed to extend the Master Contract until January 15, 2025," said a joint statement.
"Effective immediately, all current job actions will cease and all work covered by the Master Contract will resume."
The strike was the first involving these ports since 1977.
Talks between the two sides had been dormant for months. But negotiations resumed Monday as the contract's expiration deadline approached.
In recent days, Acting Labor Secretary Julie Su and other Biden administration officials urged the parties to hash out differences and called on USMX to boost its offer.
Wage hikes
The stoppage involved some 45,000 workers at 36 facilities.
The contract pertained only to 14 large ports, including New York/New Jersey, Philadelphia, Boston, Savannah, Miami and Houston. However, additional workers at ILA-represented facilities in the region joined the stoppage.
The talks centered on wages and ILA efforts to prevent job loss due to automation. ILA leaders argued that a big wage hike was merited after dockworkers kept the economy running during the pandemic, boosting shipper profits.
Shipping containers at Port Newark in New Jersey, on October 4, 2024 where dockworkers are returning to work after a three-day strike © Bryan R. SMITH / AFP
The tentative agreement pertains to wages and extends the contract to January 15, 2025.
"The two sides have agreed to return to the bargaining table to negotiate all other outstanding issues," said the joint statement.
It did not offer terms of the deal, but The Wall Street Journal, citing sources close to the matter, said USMX had proposed a 62 percent salary increase over six years, allowing the deal to be reached.
US President Joe Biden had been under pressure to intervene in negotiations to keep ports open, but had demurred, citing respect for collective bargaining rights. He praised both sides for resolving the matter, citing the need to "ensure the availability of critical supplies for Hurricane Helene recovery and rebuilding," a White House statement said.
Outside the White House late Thursday, Biden said, "They've got the next 90 days, they are going to settle everything."
Analysts had cautioned that, with the November 5 presidential election nearing, a lengthy strike could have posed a major headwind to the US economy, leading to shortages of some items and lifting costs at a time when inflation has been moderating.
Shipping companies forced to reroute their vessels had planned to apply surcharges for each container: $1,000 each for German shipping company Hapag-Lloyd, and $800 to $1,500 for France's CMA CGM, according to German logistics platform Container xChange.
Oxford Economics said it doesn't plan to update its economic forecast in light of the quick resolution of the strike.
"The port strike ended fairly quickly, removing any significant downside risk to the economy this quarter," said the Oxford note.
"It will take a little time to work through any backlogs that developed during the strike, but any lost output that occurred during the strike will be made up through the remainder of this quarter, therefore no change to our forecast for Q4 GDP is needed."
© 2024 AFP
The tentative agreement pertains to wages and extends the contract to January 15, 2025.
"The two sides have agreed to return to the bargaining table to negotiate all other outstanding issues," said the joint statement.
It did not offer terms of the deal, but The Wall Street Journal, citing sources close to the matter, said USMX had proposed a 62 percent salary increase over six years, allowing the deal to be reached.
US President Joe Biden had been under pressure to intervene in negotiations to keep ports open, but had demurred, citing respect for collective bargaining rights. He praised both sides for resolving the matter, citing the need to "ensure the availability of critical supplies for Hurricane Helene recovery and rebuilding," a White House statement said.
Outside the White House late Thursday, Biden said, "They've got the next 90 days, they are going to settle everything."
Analysts had cautioned that, with the November 5 presidential election nearing, a lengthy strike could have posed a major headwind to the US economy, leading to shortages of some items and lifting costs at a time when inflation has been moderating.
Shipping companies forced to reroute their vessels had planned to apply surcharges for each container: $1,000 each for German shipping company Hapag-Lloyd, and $800 to $1,500 for France's CMA CGM, according to German logistics platform Container xChange.
Oxford Economics said it doesn't plan to update its economic forecast in light of the quick resolution of the strike.
"The port strike ended fairly quickly, removing any significant downside risk to the economy this quarter," said the Oxford note.
"It will take a little time to work through any backlogs that developed during the strike, but any lost output that occurred during the strike will be made up through the remainder of this quarter, therefore no change to our forecast for Q4 GDP is needed."
© 2024 AFP
Dockers end three-day strike at Montreal port
By AFP
October 3, 2024
Dockworkers at the port of Montreal have ended a partial three-day strike as planned - Copyright AFP/File Sebastien ST-JEAN
Dockworkers at the port in Montreal, the second-largest in Canada, ended a partial three-day strike as scheduled on Thursday, officials confirmed, with both sides summoned to mediation.
The work stoppage by 320 dockers at two Montreal terminals came as tens of thousands of US longshoremen walked off the job this week at major East and Gulf Coast ports.
“The three-day strike is over,” Isabelle Pelletier, spokeswoman for the Maritime Employers Association, told AFP.
A federal mediator has summoned both sides to a meeting on Friday.
Each day of the Montreal strike put Can$91 million (US$67 million) worth of economic activity at risk, the port authority said.
It said Thursday that 11,500 containers had been blocked or delayed because of the strike, creating “supply chain backlogs, delivery delays and additional costs for businesses and consumers.”
A spokeswoman for the port authority, Renee Larouche, said it would work “to ensure a return to normal (operations) as quickly as possible.”
The port handles most of Canada’s container traffic with the European Union.
Transport Minister Anita Anand said this week that the port was “critical to our supply chains” and urged both sides to “return to the table and put in the work needed to get a deal done.”
Their last meeting to negotiate a collective agreement was on September 26.
Michael Murray of the Port of Montreal Longshoremen’s Union accused the employer of refusing “to come to the negotiating table to find solutions.”
Pelletier said the Maritime Employers Association is hoping for a “lasting agreement that takes into account reality in order to work collectively to bring stability and cargo back to Montreal.”
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