Multiple industry stakeholders celebrated the end of the International Longshoremen’s Association East and Gulf Coast port strike on Thursday.
The union and the United States Maritime Alliance came to a tentative deal on wages following the three-day work stoppage while agreeing to extend their master contract until Jan. 15, 2025. The extension allows both parties to resume negotiations over all other outstanding issues.
The threat of a strike itself pushed ports and ocean carriers to readjust their operations while some shippers moved cargo early. Now with a deal, some affected ports have begun reopening, bringing some level of certainty to shippers’ cargo bound for East and Gulf Coast terminals.
Leaders, shippers and trade associations wasted no time praising the agreement. Here are some highlights:
President Joe Biden
“I want to applaud the International Longshoremen’s Association (ILA) and the United States Maritime Alliance for coming together to reopen the East Coast and Gulf ports. Today’s tentative agreement on a record wage and an extension of the collective bargaining process represents critical progress towards a strong contract. I congratulate the dockworkers from the ILA, who deserve a strong contract after sacrificing so much to keep our ports open during the pandemic. And I applaud the port operators and carriers who are members of the US Maritime Alliance for working hard and putting a strong offer on the table.”
Acting Labor Secretary Julie Su
“As President Biden, Vice President Harris and this administration have said again and again, collective bargaining works. I congratulate the International Longshoremen’s Association and the United States Maritime Alliance for reaching a tentative agreement on a strong wage package that allows the East Coast and Gulf ports to reopen while the parties finish bargaining on a new contract.”
Transportation Secretary Pete Buttigieg
“I want to thank everyone involved for putting the country first, finding a path forward to reopen ports, and ensuring that essential goods — including those bound for areas hard hit by Hurricane Helene — will be moving again.
“In the coming days and weeks, our Department will continue to coordinate closely with stakeholders across America's supply chains to support an orderly process of returning these ports to service and to encourage a good outcome in the subsequent contract negotiations.”
American Association of Port Authorities President and CEO Cary Davis
“Without the strong cooperation of management and labor, port authorities simply cannot move cargo, maintain a fluid supply chain, and keep our nation’s economy growing.
“As it takes some time for operations to return to normal, we must be patient and are also reminded once again that our system is resilient and can withstand short and contained impediments. However, we are glad the strike has ended, and AAPA sincerely thanks the USMX and ILA for coming together and negotiating an agreement.”
National Grain and Feed Association President and CEO Mike Seyfert
“It is a relief that a tentative agreement has been reached and the ports will be open for business once again. For U.S. farm products to flow smoothly to domestic and international markets, it is essential for all parts of the supply chain to be fully functioning. The shutdown of these vital shipping ports was already starting to create big problems for NGFA’s members and America’s farmers during harvest season. Left unresolved, this strike could have led to higher transportation costs for agricultural shippers and jeopardized valuable customer relationships.
“For the sake of rural America, we hope that the parties involved will work diligently between now and January 15 to find a long-term agreement that works for both sides and keeps our shipping channels open.”
National Retail Federation President and CEO Matthew Shay
“The decision to end the current strike and allow the East and Gulf coast ports to reopen is good news for the nation’s economy. It is critically important that the International Longshoremen’s Association and United States Maritime Alliance work diligently and in good faith to reach a fair, final agreement before the extension expires. The sooner they reach a deal, the better for all American families.”
Retail Industry Leaders Association
“The retail industry is relieved to see positive progress in the ILA and USMX contract negotiations that ensures the vital East and Gulf Coast ports are open and fully operational. Without the specter of disruption looming, the U.S. economy can continue on its path for growth and retailers can focus on delivering for consumers.
“We encourage both parties to stay at the negotiating table until a final deal is reached that provides retailers and consumers full certainty that the East and Gulf Coast ports are reliable gateways for the flow of commerce.”
National Association of Manufacturers President and CEO Jay Timmons
“Manufacturers depend on the stability of our ports to continue building, innovating, delivering products to American families and supporting communities across the country. We commend the International Longshoremen’s Association and the U.S. Maritime Alliance for coming together in the spirit of collaboration and urge both parties to use this time to reach a fair and lasting agreement. Another strike would jeopardize $2.1 billion in trade daily and could reduce GDP by as much as $5 billion per day. We cannot afford that level of economic destruction.”
American Trucking Associations President and CEO Chris Spear
"We are glad to see the strike has ended, but it should have never happened in the first place.
“This is a deal that could have been cut months ago had both parties stayed at the table. That was the job of this Administration, which it refused to do. This failure was not without cost, impacting real Americans, including millions reeling from a natural disaster.”
