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Automation Remains an Obstacle to Concluding Labor Contract for East Coast Ports

11/18/2024

Negotiations to reach a Master Contact between the U.S. Maritime Alliance (USMX) and the Longshoremen’s Association (ILA) representing workers on East coast and Gulf ports has reached an impasse over the final issue relating to automation.  Most outstanding items have been resolved after four days of intense negotiations.  The ILA is accusing USMX of failing to adhere to a commitment not to introduce various forms of automation.  According to USMX the introduction of automation will improve efficiency but not at the expense of jobs.  Modernization is necessary to maintain the viability of ports and to improve working conditions and safety.

 

Understandably, ILA is concerned over job security having observed the effect of mechanization and robotics in the auto industry. ILA regard semi-automation as a slippery slope ultimately developing into full automation and the inevitable loss of jobs.

 

In early October, after a brief strike, the ILA agreed to continue working with a tentative agreement extending to mid-January 2025.  Political considerations during the pre-election weeks resulted in a hands-off approach by the White House concerned over disaffection of unions if it intervened directly and relying on jawboning.  The situation will be different under the incoming administration since the Taft-Hartley Act would certainly be invoked, forcing workers to return to work in the event of a strike. This places pressure on both the ILA and the USMX to reach an agreement. Based on the weaker position of the ILA, it is anticipated that the dispute will be resolved by acceptance of limited automation before the January 15th deadline.