The U.S. could see a massive disruption at East Coast ports in October if dock workers follow through on threats to strike if their contract demands are not met within 60 days. The International Longshoremen’s Association (ILA) represents more than 85,000 workers. The union is contracted with the United States Maritime Alliance.
The dock workers’ current contract is set to expire in the coming months, and port workers are seeking more from the proposed renewed contract deal. The union officially filed notice that if an agreement is not reached, a strike could be imminent.
A strike would affect 36 ports across the Atlantic and Gulf coasts, impacting more than half of the cargo shipped to the U.S. from around the world. According to Moody’s Ratings, a strike is unlikely due to the major global ramifications that would follow, including significant disruptions to global trade and supply chains, potentially throwing economies into chaos.
The workers’ significant role in keeping goods flowing gives the union leverage, but the Maritime Alliance contends that its renewed contract offer is generous.
In a press release, the Maritime Alliance said it “made several offers since we first began substantive contract discussions in 2022. Our latest proposal would provide industry-leading wage increases, boost employer retirement contributions, offer new employees higher starting wages, raise employer contributions to local benefits, and continue to provide premier health care coverage.”
In response, the ILA released a statement.
“When it comes to the Master Contract negotiations, let me be frank—we are very far apart, particularly on the economic issues,” the ILA wrote. “In fact, we are at an impasse. The propaganda coming from the United States Maritime Alliance is just that—propaganda, likely the work of a PR firm trying to spin the situation in their favor.”
The White House said it is monitoring the situation but has not intervened in the negotiations so far. However, if a deal is not reached as the strike date approaches, it is likely that a larger force will step in to facilitate an agreement to prevent a detrimental strike just a month before the election.