Eastcoast Dockworkers Win 62% Wage Boost, But Automation Battle Extends into Early 2025

Sunita Somvanshi

A tentative agreement between the  International Longshoremen's Association (ILA) and the U.S. Maritime Alliance led to 45,000 dockworkers calling a temporary stop to the three-day strike at the East and Gulf coast ports, with January 15, 2025 agreed upon as the deadline to negotiate a new contract.

Photo Source: International Longshoremen's Association (Facebook)

The temporary deal outlines an immediate $4 per hour raise, which would total the current top pay of the workers to $43/hour; with a cumulative 62% pay hike after taking into consideration the annual $4 raises over the six-year contract.

Photo Source: International Longshoremen's Association (Facebook)

The union had initially demanded a 77% pay raise but the current offer from the management is much more substantial than their previous offers of 22%, 40% and a little below 50%.

Photo Source: International Longshoremen's Association (Facebook)

Apart from the pay increase, another major issue is the implementation of automated and semi-automated terminals, ILA President Harold Daggett took a vehement stand against this calling it a threat to American jobs.

Photo Source: International Longshoremen's Association (Facebook)

In the case of port automation, America does not even rank in the top 10 for efficiency based on the World Bank's Container Port Performance Index 2023. Even Philadelphia, the highest-ranked U.S. port, ranks 50th internationally.

Photo Source: International Longshoremen's Association (Facebook)

Acting Labor Secretary Julie Su played a crucial role in diplomatically helping the two involved parties negotiate with President Biden stating "We averted what might have become a major crisis for the country."

Photo Source: International Longshoremen's Association (Facebook)

The nearly $1 million annual salary and lavish lifestyle of ILA President Harold Daggett has been a talk of the town as this information comes forward alongside the three-day strike of the dockworkers.

Photo Source: International Longshoremen's Association (Facebook)

With January 15, 2025 decided as the deadline for the two parties to resolve the issues and negotiate a new contract, this also leaves 103 to resolve the automation issue as well.

Photo Source: International Longshoremen's Association (Facebook)

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