Supply chains linked to the east coast and Gulf of the US face significant disruption as the result of a dispute between the International Longshoremen’s Association (ILA) union and the United States Marine Alliance (USMX).
The action regards the negotiation of a new contract covering 45,000 workers at more than 30 ports from Maine to Texas, as the existing agreement expires at midnight on September 30.
According to news agency Reuters, affected ports would include major hubs including Baltimore, Boston, Charleston, Houston, Miami, New Orleans, New York/New Jersey, Philadelphia, and others; which together handle approximately half of all imports into the US. It said delays to cargo movements would have a knock-on effect on US and global supply chains, pushing costs up.
Key ILA demands to be resolved in the contract negotiations include wage increases, improved benefits, and job security, particularly regarding the impact of future automation on dockworker roles.