Trade groups and industry leaders were at ease after the International Longshoremen’s Association the United States Maritime Alliance reached a tentative agreement on a six-year contract for East and Gulf Coast port workers on Wednesday.
The deal comes after trade groups urged the union and USMX for a resolution to avoid a work stoppage that would delay shipments at ports across the East and Gulf Coasts.
Here are some excerpts of what industry leaders are saying about the agreement.
President Joe Biden
“Collective bargaining plays an important role when it comes to building a strong economy from the middle out and the bottom up. Today’s tentative agreement between the International Longshoremen’s Association and the United States Maritime Alliance shows that labor and management can come together to benefit workers and their employers.
“I applaud the dockworkers’ union for delivering a strong contract. Their members kept our ports open during the pandemic, as we worked together to unsnarl global supply chains. Thank you to the carriers and port operators who play an essential role in our nation’s economy.”
International Longshoremen's Association President Harold Daggett
“[President-elect Donald] Trump clearly demonstrated his unwavering support for our ILA union and longshore workers with his statement “heard round the world” backing our position to protect American longshore jobs against the ravages of automated terminals.
“President Trump’s bold stance helped prevent a second coast wide strike at ports from Maine to Texas that would have occurred on January 15, 2024, if a tentative agreement was not reached.”
National Retail Federation VP of Supply Chain and Customs Policy Jonathan Gold
“We are pleased to see the ILA and USMX come to a final agreement on a new contract, as U.S. ports on the East and Gulf Coasts play a critical role in the retail supply chain.
“Providing certainty with a new contract and avoiding further disruptions is paramount to ensure retail goods arrive in a timely manner for consumers. The agreement will also pave the way for much-needed modernization efforts, which are essential for future growth at these ports and the overall resiliency of our nation’s supply chain.”
Retail Industry Leaders Association
“U.S. East and Gulf Coast ports are crucial links in the retail supply chain. Operating at full capacity and without the stress of potential disruption looming, retailers can continue delivering for consumers without delay or added costs, and the U.S. economy can push forward on the right track for growth.
“ILA and USMX reaching consensus on this tentative agreement is a welcome relief for all industries that rely on these ports. We urge a quick ratification of the agreement to eliminate the element of uncertainty that has long lingered over supply chains and the U.S. economy.”
Alliance for Chemical Distribution President and CEO Eric Byer
“ACD is pleased the ILA and USMX have agreed to a tentative, long-term master contract well before the negotiating deadline. The failure of ILA and USMX to reach this agreement would have resulted in significant economic impacts, threatening the flow of essential goods through increased reroutes, delays, and congestion. ACD urges both parties to ratify this agreement without delay to provide greater certainty to the countless businesses that rely on these critical East and Gulf Coast ports.”
National Grain and Feed Association President and CEO Mike Seyfert
“Both sides should be commended for sitting down and working out a compromise that benefits the dockworkers and their employers alike, and we are hopeful that this deal will be ratified and made official quickly. It is a relief that these vital ports will continue to operate and that shipping channels will remain open for U.S. agriculture.
“America’s grain and feed industry depends on a fully functioning transportation system, and when any part fails, it can drive up transportation costs and jeopardize valuable customer relationships. Given current economic conditions, we simply cannot afford disruptions.”
National Association of Waterfront Employers President Carl Bentzel
“We commend the ILA and the USMX on reaching a tentative six-year agreement and believe this to be a significant achievement that demonstrates the power of collective bargaining.
“We will continue to advocate for outcomes that are fair, respected, and beneficial to all stakeholders. This tentative agreement will ensure stability in port operations and supply chain which is essential for our nation’s economic growth and competitiveness.”
Specialty Equipment Market Association
“SEMA applauds the efforts of the ILJA and USMX on arriving at a tentative agreement that keeps our economy moving for importer and exporters alike. These are the results that can be generated when practical and rational discussion takes place,” the group told Supply Chain Dive in an email.
