The war of words continues as the strike by International Longshoremen’s Association (ILA) workers against U.S. East and Gulf Coast port employers entered its second day with no end in sight.
The job action primarily affects container handling and ro-ro services at ports and terminals from Texas to Maine, and comes as importers enter the critical end-of-year retail selling season.
Marine terminals and container lines represented by the United States Maritime Alliance (USMX) on Monday said they had offered the union a wage hike totaling 50% over the six years of the coastwise master contract.
In a statement posted to its website, the ILA rejected the new offer as inadequate “for many members who earn $20 an hour” in states such as New Jersey where the minimum wage is $15 per hour. The previous master contract negotiated in 2018 specifies base pay of $20 for new employees, ranging up to $39 for workers with six or more years’ experience. The union said it is seeking better than a $5-per-hour pay hike over the life of the contract.
The union also pointed out that members must work six years to reach the top wage tier.
“USMX also overlooks the fact that two-thirds of our members are constantly on call, with no guaranteed employment if no ships are being worked. Our members qualify for benefits only based on the hours they worked the previous year, making them vulnerable if there’s a downturn in work. Despite this, there is no incentive within the progression system for hard-working members to advance faster. Regardless of their dedication, they must wait six full years to attain the top wage.”
The union said it was ready to negotiate a new contract in 2022, criticizing employers for waiting until the eve of a potential strike to make a new offer. The ILA also claimed the last master contract offer it got was in February 2023.
Wage increases negotiated in the previous contract have been wiped out by inflation, the ILA said, repeating its message that ocean lines based outside the U.S. refuse to share record profits with union employees.
“Furthermore, the ILA is steadfastly against any form of automation — full or semi — that replaces jobs or historical work functions. We will not accept the loss of work and livelihood for our members due to automation. Our position is clear: the preservation of jobs and historical work functions is non-negotiable.”
The union also is seeking its share of container royalties paid under the terms of the master contract. “These funds were intended to be a wage supplement paid out to our members, not to be shared with employers. The ILA demands 100% of its Container Royalty monies, along with other jurisdictional demands, to ensure our members receive what is rightfully theirs.”
Find more articles by Stuart Chirls here.
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