ILA and USMX Sign Historic Six-Year Contract: Wage Increases and Automation Protections

The International Longshoremen’s Association (ILA) and United States Maritime Alliance (USMX) have finalized a 6-year master contract impacting 24,000 dockworkers across 14 major ports from Texas to Massachusetts. Effective retroactively from October 1, 2024, to September 30, 2030, the agreement delivers a 62% wage increase, job security measures related to automation, and improved healthcare benefits. This contract is considered official, following the provisional agreement signed not long ago.

1. Key Terms of the Agreement

• 62% wage increase over six years.
• Job security provisions to prevent automation-driven layoffs.
• Accelerated wage raises for new workers.
• Full return of container royalty funds to dockworkers.
• Enhanced healthcare benefits for union members.
• Retroactive implementation from October 1, 2024.

The negotiations, which began in 2023, were not without challenges. A three-day strike in October 2024 underscored the tensions between labor and management. However, the final agreement reflects a broad consensus between the ILA and USMX, with unanimous support from USMX membership.

2. Statements from ILA & USMX Leaders

Harold Daggett, ILA International President:

Daggett, who led the negotiations, described the agreement as the “best package ever secured” for ILA members. He emphasized the importance of recognizing the contributions of longshoremen in building and growing the industry.

Paul De Maria, USMX Executive Vice President:

De Maria highlighted the agreement’s focus on creating modern and safe working conditions while enhancing the efficiency of supply chains. He stressed the importance of ensuring that American companies remain competitive in the global marketplace.

3. Impact on U.S. Ports and Supply Chains

• Labor stability for U.S. East Coast and Gulf Coast ports.
• Prevention of automation-driven job losses while allowing port modernization.
• Stronger U.S. supply chains with reduced risk of disruptions.
• Economic benefits for dockworkers and local economies.

4. Conclusion

This agreement marks a milestone for U.S. port labor relations, ensuring fair wages and job security while supporting efficient port operations. With labor stability secured, U.S. supply chains can operate smoothly, reinforcing the nation’s position in global trade.

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