US port workers call off strike after tentative wage deal with employers

04 Oct 2024

US port workers across the East Coast and the Gulf of Mexico called off their three-day strike on Thursday, following a tentative deal with the employers group, the United States Maritime Alliance (USMX) that offered a 62 per cent increase in wages, up from the 50 per cent proposed earlier. 

A joint statement issued by the International Longshoremen’s Association (ILA) and the United States Maritime Alliance said they have reached a tentative agreement on wages and that the master contract will continue until 15 January 2025, when the two sides will return to negotiate a deal on all other outstanding issues. 

Workers will cease all current job actions and resume work covered by the Master Contract immediately, the statement added.

Dockworkers had government backing for their demands. In fact, acting secretary of labour Julie Su had said that union leaders would agree to extend the contract, if the employers made a higher offer.

President Joe Biden applauded "critical progress towards a strong contract."

The tentative wage agreement would raise average wages to about $63 an hour from $39 an hour over the life of the contract.

The ILA had demanded a 77 per cent increase in wages while the employers group had agreed to raise wages by nearly 50 per cent.

The deal ends the biggest strike by port workers in nearly 50 years that brought port operations across US East Coast to a halt, and affected shipments of everything and threatened to hit global trade if it continued.