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President Biden Urges Foreign-Owned Port Employers to Improve Offer and End Dockworker Strike


By: Mike Schuler


As the International Longshoremen’s Association (ILA) launched a widespread strike affecting 36 U.S. Atlantic and Gulf coast ports from Maine to Texas, President Joe Biden has called for fair wage negotiations between the United States Maritime Alliance (USMX) and port workers. The strike, which began at 12:01 a.m. on Tuesday, marks the first ILA coast-wide strike since 1977, impacting roughly half of all U.S. containerized imports and exports during the ocean peak season. The dispute centers on wage increases and protections against automation. In a statement on Tuesday, President Biden emphasized the importance of collective bargaining and urged USMX—which represents port employers comprising foreign-owned ocean carriers—to present a fair offer to the ILA workers. “It is time for USMX to negotiate a fair contract with the longshoremen that reflects the substantial contribution they’ve been making to our economic comeback,” the statement said. USMX’s final offer before the deadline included a nearly 50% wage increase, doubled employer contributions to retirement plans, improved healthcare options, and maintained current language on automation. On Tuesday, the ILA union indicated it had lowered its wage increase demand to 61.5%, from its previous request of a 77% pay increase. The President’s statement highlighted the record profits made by ocean carriers since the pandemic, noting that in some cases, profits grew by “over 800%” compared to pre-pandemic levels. "Executive compensation has grown in line with those profits and profits have been returned to shareholders at record rates,” said Biden. “It’s only fair that workers, who put themselves at risk during the pandemic to keep ports open, see a meaningful increase in their wages as well. "He also stressed the critical role of dockworkers in the aftermath of Hurricane Helene, stating, “Now is not the time for ocean carriers to refuse to negotiate a fair wage for these essential workers while raking in record profits. "Despite calls from the Transportation and Infrastructure Committee and the National Retail Federation to invoke the Taft-Hartley Act—which allows presidential intervention in labor disputes that create a national emergency—the Biden administration has indicated that the president does not plan to use this option. This stance is underscored by the President’s statement today, which stresses, “Collective bargaining is the best way for workers to get the pay and benefits they deserve.”

Invoking the Taft-Hartley Act would force dockworkers to return to work for a 90-day “cooling-off period”—a measure the ILA union has dismissed as counterproductive, arguing that its workers would simply slow down port operations instead. The ongoing strike has raised concerns about potential economic impacts. Matthew Shay, President and CEO of the National Retail Federation, warned of “devastating consequences for American workers, their families and local communities,” including inflationary pressures and impacts on the recovery from Hurricane Helene. As negotiations continue, President Biden’s statement emphasizes the need for fair compensation and recognition of workers’ contributions, particularly in light of the industry’s recent profitability and the ongoing economic recovery efforts.

Source : gCaptain

 

 

 

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