Contract Talks Begin for Dockworkers at Western Ports Amid Supply Chain Crisis

Labor negotiations will start Tuesday for 15,500 dockworkers at 29 West Coast ports, together with San Diego and two busiest ports within the Western Hemisphere — Los Angeles and Lengthy Seashore.

The negotiations will happen daily in San Francisco till a deal is reached between the Worldwide Longshore and Warehouse Union and the Pacific Maritime Affiliation, which represents employers who function marine terminals and delivery traces.

The present contract expires on July 1.

Bargaining negotiations come as the US is experiencing provide chain disruptions because of the COVID-19 pandemic and historic cargo quantity, placing some on edge that negotiations may create an additional backlog within the provide chain.

PMA President and CEO Jim McKenna mentioned the affiliation is dedicated to negotiating a contract with out disruption.

“Any disruption can be debilitating to the U.S. economic system. We and the ILWU want to remain on the desk and cut price, with none impacts on West Coast marine terminals,” he mentioned.

McKenna famous that just about half of Asian imports destined for the U.S. are moved by means of the West Coast ports, which collectively supported almost $2 trillion in financial worth within the U.S. final yr, about 9% of the nation’s GDP, he mentioned.

Throughout tense contract negotiations in 2002, Ports from San Diego to Seattle have been shut down after the PMA locked out dock staff, accusing them of collaborating in a slowdown that amounted to a strike in all however identify.

The lockout lasted some 10 days.

“It’s no secret that previous contract talks between PMA and the ILWU haven’t all the time gone easily. That’s why I’ve heard from anxious importers and exporters throughout our nation concerning the upcoming talks,” McKenna mentioned, reiterating his the affiliation’s dedication to avoiding disruptions.

In remarks forward of the negotiations, McKenna boasted about ILWU members’ salaries, saying they earn almost $195,000 a yr on common, and including that the PMA “will proceed to supply world-class wages and advantages.”

Nevertheless, ILWU disagrees with how its employers’ calculate the common wage of staff, saying they solely have in mind a particular class of staff, who usually have labored within the trade for many years.

“The one correct method to focus on Longshore wages is to quote hourly pay, which in our present collective bargaining settlement begins at $32.31 per hour … many longshore staff, particularly casuals, can solely acquire enough hours to equate to half time work,” ILWU says on its web site.

McKenna added that the PMA’s priorities additionally embody persevering with to create coaching alternatives for longshore staff for high-skilled jobs, modernizing the terminals together with by means of automation and adhering to environmental rules to guard staff’ well being.

ILWU Worldwide President Willie Adams mentioned in an open letter on Friday that the union is in search of “a contract that honors, respects and protects good American jobs and U.S. importers and exporters, whereas reflecting the laborious work they’ve been doing not solely all through COVID however in our 88-year historical past on the ports.”

Adams added that some firms are in search of to automate the U.S. terminals that they lease from the ports to make use of “robots as an alternative of American staff to function the heavy tools that strikes cargo.”

“These makes an attempt must be a priority for our nation because the intention behind them isn’t what’s greatest for America, however relatively what’s greatest for international earnings,” Adams mentioned.

McKenna claimed, nonetheless, that automated terminals develop “work alternatives for ILWU members” and are more practical to deal with historic cargo quantity.

Automation was one of many details of competition throughout labor negotiations in 2002.

The negotiations usually are not open to the general public or media.

Metropolis Information Service and Reuters contributed to this text.