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President Biden has called for wage increases for striking port workers after tens of thousands of longshoremen on the East Coast and Gulf of Mexico went on strik
Let’s bring you up to speed: Last night, tens of thousands of longshoremen went on strike after their union, the International Longshoremen’s Association (ILA), failed to reach a new contract with the US Maritime Alliance (USMX). The primary dispute between the ILA and the USMX centers around automation and wages. The union is demanding a ban on the automation of cranes, gates, and container trucks, which they argue would lead to significant job losses and undermine worker security. In addition to resisting automation, the ILA is pushing for a wage increase of 77% over the duration of the contract.
What Biden is saying: In a statement, President Biden said, “Ocean carriers have made record profits since the pandemic and in some cases profits grew in excess of 800 percent compared to their profits prior to the pandemic. Executive compensation has grown in line with those profits and profits have been returned to shareholders at record rates. It’s only fair that workers, who put themselves at risk during the pandemic to keep ports open, see a meaningful increase in their wages as well.”
What both sides are saying:
Longshoremen: In a statement, the ILA said, “The Ocean Carriers represented by USMX want to enjoy rich billion-dollar profits that they are making in 2024, while they offer ILA Longshore Workers an unacceptable wage package that we reject. ILA longshore workers deserve to be compensated for the important work they do keeping American commerce moving and growing. It’s disgraceful that most of these foreign-owned shipping companies are engaged in a ‘Make and Take’ operation: They want to make their billion-dollar profits at United States ports, and off the backs of American ILA longshore workers, and take those earnings out of this country and into the pockets of foreign conglomerates.”
USMX: In a statement, USMX said, “In the last 24 hours, the USMX and ILA have traded counter offers related to wages. The USMX increased our offer and has also requested an extension of the current Master Contract, now that both sides have moved off their previous positions. We are hopeful that this could allow us to fully resume collective bargaining around the other outstanding issues – in an effort to reach an agreement. Our offer would increase wages by nearly 50 percent, triple employer contributions to employee retirement plans, strengthen our health care options, and retain the current language around automation and semi-automation.”