Another dockworker strike is looming

Similar to Wicked, the US dockworker strike could be getting a Part Two in 2025.

The International Longshoremen’s Association (ILA) – a 47,000-member union representing dockworkers at every major Eastern US and Gulf Coast port – and the United States Maritime Alliance (USMX) – which represents shippers and terminal operators – will sit down today to resume talks with another labor stoppage looming.

Background: Strike: Part One occurred in early October, when dockworkers walked off the job for three days. The sticking points were wages and automation.

The walkout ended after employers under pressure from the Biden administration agreed to a tentative 62% pay increase over six years, the Wall Street Journal reports. But on the topic of automation, the two sides agreed to kick the can down the road a few months.

Now it’s getting close to judgement day. And the dockworkers and shippers still appear oceans apart.

• Dockworkers are seeking an all-out ban on automation, including semi-automated cranes allowed in the current contract (two ports, in Norfolk, VA, and Bayonne, NJ, already use the tech).
• Port employers, on the other hand, want to increase their use of technology, saying automation is the only way for East and Gulf Coast ports to handle more shipping volume. One terminal doubled its capacity after implementing semi-automated equipment, with this increase in productivity leading to an increase in hiring, per the USMX.

👀 Looking ahead…Dockworkers are planning to walk off the job on January 15, when the current contract expires, should a deal not be reached prior. A strike is expected to cost the US economy anywhere from $1 billion–$5 billion per day, and, if prolonged, could result in higher prices for consumers.

President-elect Trump could also step in to halt a strike via the Taft-Hartley Act, or put pressure on the sides to reach a deal (similar to the Biden admin’s approach). Trump has previously expressed support for the ILA’s fight against automation.