Contract negotiations between the International Longshoremen’s Association (ILA) and the United States Maritime Alliance (USMX) have stalled over automation issues. Following a three-day strike in early October, the ILA and USMX reached a tentative wage agreement and extended the Master Contract until January 15, 2025.
This week’s scheduled four-day talks aimed to resolve outstanding issues for a new six-year Master Contract. However, USMX’s proposal introducing semi-automated equipment sparked controversy. The ILA rejected this, seeing it as an attempt to eliminate jobs through automation, and broke off talks.
USMX emphasized that their goal is modernization, enhancing worker safety, efficiency, and job growth, while strengthening supply chains and increasing capacity to benefit American businesses and workers.
In a statement, the ILA expressed that they are, “disappointed that USMX would attempt to disregard our ILA’s well-known position opposing job-cutting automation and semi-automation.”
“It is frustrating to hear that the ILA, having just won a 61.5% wage increase, will continue to stonewall on much needed automation—which will help lift USA port efficiency from some of the lowest current standings worldwide, into the top 50,” says Rich Roche, Senior Vice President.
The two sides must reach an agreement by January 15, 2025, to prevent a severely disruptive port strike. Mohawk Global will continue to monitor negotiations and provide updates as necessary.