The ILA union presents the main demands to end the dock workers' strike

The International Longshoremen's Association (ILA) has outlined key demands that must be met to restart contract negotiations with the United States Maritime Alliance (USMX).

The union's response comes after USMX's statement on Tuesday regarding its contract offer, which the ILA said “distorts the facts and misleads the public.”

The strike, which began at 12:01 a.m. Tuesday, is the first coastwide ILA strike since 1977, affecting about half of all U.S. container imports and exports during the peak maritime season. At the heart of the dispute are wage increases and automation protection.

At the heart of the dispute is USMX's proposed “almost 50% wage increase, which the ILA believes does not adequately meet the needs of its members.” The union points out that many of its members operate multimillion-dollar container-hauling equipment for as little as $20 an hour, barely above the minimum wage in some states.

The ILA also criticizes USMX's proposal to retain “the current language around automation and semi-automation.”

“Our members don’t work typical 9-to-5 jobs; They work extraordinary hours and sacrifice time with their families. They deserve a contract that recognizes their contributions, protects their jobs and reflects the gains made by their work,” said ILA President Harold Daggett.

The ILA highlighted several key issues in its negotiations with USMX. The union believes the current six-year wage progression system is inadequate as it does not provide incentives for faster progression.

Job security is another important concern, as the ILA strongly opposes any form of automation, whether total or partial, that could replace jobs or historic job functions. “We will not tolerate the loss of our members’ jobs and livelihoods due to automation. Our position is clear: the preservation of jobs and historical work functions is non-negotiable,” it said.

On Tuesday, Daggett pointed to problems with the “auto-gate system” that led the ILA to cancel planned negotiations with USMX – which represents port employers, including several foreign-owned shipping companies such as Maersk, MSC and COSCO – in early June. The controversy arose when it was discovered that APM Terminals and Maersk Line, both part of the Danish conglomerate AP Moller – Maersk, were using an auto-gate system – a technology that handles trucks autonomously, effectively bypassing ILA workers. The system was originally identified at the port of Mobile, Alabama, but the ILA claimed that this system was also in use at other ports. The union also accused the IT departments of APM and Maersk in Charlotte, North Carolina, of interfering with their jurisdiction.

The union is also demanding 100% of container royalties, arguing that these funds serve as wage supplements for members and should not be shared with employers. Finally, the ILA points out the challenging working conditions of its members, as two thirds are on call without guaranteed employment and benefits are tied to the previous year's working hours.

The ILA claims it has been willing to negotiate for two years and criticizes that USMX presented its offer “on the eve of a possible strike.” The union underscores the need for a contract that reflects the value of its members' contributions, especially given the sacrifices made during the pandemic.

In a statement on Tuesday, the Biden administration emphasized the importance of collective bargaining and called on USMX to provide ILA workers with a fair deal.

“It is time for USMX to negotiate a fair contract with longshoremen that reflects the significant contributions they have made to our economic comeback,” the statement said.

As the strike continues, the shipping industry is watching closely and is aware of the potential impact on U.S. ports and the overall economy. The ILA's stance remains firm: fair wages, job security and recognition of the value of its members are non-negotiable in order to bring them back to the negotiating table.

“This is necessary to bring the ILA back to the table and continue the discussions,” the ILA said.

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