ILA Secures Wage Hike, Sets Sights on Blocking Port Automation

The International Longshoremen’s Association (ILA) has won a significant victory in their recent contract negotiations, but the fight is far from over. 

Following a three-day strike that paralyzed East and Gulf Coast ports, the union secured a substantial 62% wage increase over six years for its 47,000 members. However, ILA President Harold Daggett is already gearing up for the next crucial battle: protecting jobs from the encroachment of automation.

While the pay dispute has been resolved, allowing ports to reopen, the agreement only extends the previous contract until January 15th. This extension provides time for continued talks on remaining issues, with automation looming as the most contentious.

Daggett is adamant about including “absolute airtight language” in the next contract to prohibit any form of automation or semi-automation in the ports. This stance sets the stage for a protracted negotiation with the United States Maritime Alliance (USMX), representing terminal operators and ocean carriers.

The union’s concerns are not unfounded. US ports, while lagging behind their European and Asian counterparts in technological adoption, have seen some automation creep in. Facilities in Bayonne, NJ, and Norfolk, VA, already utilize semi-automated systems. However, the ILA has thus far maintained veto power over such deployments.

Despite some technological advancements, ILA work hours have surprisingly grown faster than cargo volumes in recent years. This fact may bolster the union’s argument against the necessity of automation for productivity gains.


Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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