Critical Dockworker Talks Resume to Avert January Strike

Negotiations are set to restart tomorrow between employers and dockworker unions on the US East and Gulf coasts in a final attempt to prevent a strike planned for January 15.

After a three-day walkout in October, the International Longshoremen’s Association (ILA) reached a temporary wage agreement with the United States Maritime Alliance (USMX), pausing the strike until January.

Talks resumed in November to address unresolved issues as the current contract approaches its expiration date on January 15, just five days before Donald Trump assumes office as the 47th president of the United States.

However, discussions on the master contract broke down last month, with Trump expressing support for the unions. The key point of contention remains the use of semi-automated cranes at ports.

“Whether we will see an agreement, or a strike, is quite unpredictable at this point, but it appears that ILA in one corner has the backing of both the outgoing and the incoming US presidents, whereas the carriers behind USMX could potentially stand to benefit financially from another bout of disruption-induced congestion,” analysts at Sea-Intelligence commented in their latest weekly report.

If progress toward a deal does not emerge soon, Lars Jensen, CEO of Vespucci Maritime, anticipates terminals will extend gate hours in the days leading up to January 15.

“Shippers should stay close to the development and plan accordingly to mitigate the risk of having cargo stuck in the ports in case of a strike,” Jensen advised in a LinkedIn post.