ICAT Blog: Article Potential Port Strike Averted as Union, Employers Reach Tentative Deal
January 9, 2025
Dockworkers and shipping companies on the U.S. East and Gulf Coasts have reached a tentative six-year contract agreement, averting a strike that could have disrupted supply chains and drastically impacted the U.S. economy. The International Longshoremen’s Association (ILA), representing 45,000 workers, and the United States Maritime Alliance (USMX), the employer group, called the deal a “win-win.”
The agreement resolves the contentious issue of automation—balancing modernization with job protection. Fully automated systems remain excluded, but semi-automation is allowed, ensuring that any new technology creates guaranteed jobs for union members. This compromise aims to make ports safer, more efficient, and capable of supporting stronger supply chains.
The deal, which follows earlier agreements on wages, avoids a strike that was set for the morning of January 16. Final ratification is pending, with both sides expressing optimism about the contract’s benefits for workers, businesses, and the broader economy. Terms of the deal remain undisclosed at this time.
We will continue to monitor this breaking story and provide any updates that could impact your supply chain. If you have questions, please don’t hesitate to contact your ICAT representative.
