Longshore Union Ratifies 6-Year Contract, Resolving West Coast Port Conflict
After months of negotiations and discord, the International Longshore and Warehouse Union announced on August 30 that its members have ratified a six-year contract with the Pacific Maritime Association, bringing an end to the dispute that had been plaguing West Coast ports. The agreement, which was reached in June and approved by union members with a 75 percent majority, aims to protect jobs, maintain health benefits, and improve wages, pensions, and safety protections.
The contract covers approximately 20,000 longshore and clerk workers across 29 West Coast ports. It is retroactive to July 1, 2022, and will run through July 1, 2028. Both the union and the shipping industry’s Pacific Maritime Association have expressed their satisfaction with the outcome, highlighting the importance of labor stability for the San Pedro Bay Port Complex, which handles nearly 40 percent of the nation’s containerized cargo.
The negotiations for this contract were described as challenging and protracted, but ultimately successful. The deal includes a $4.62 hourly wage increase in the first year and an additional $2 per hour raise in the following years. This agreement not only secures the interests of the workers but also provides a framework for addressing new competitive challenges in the future.
Los Angeles Mayor Karen Bass and Long Beach Mayor Rex Richardson welcomed the contract, recognizing the significant role of labor stability in the success of the San Pedro Bay Port Complex. The two ports combined handle over $400 billion in trade, supporting millions of jobs and playing a vital role in the nation’s economy.
The ratification of this contract brings much-needed stability and confidence to the West Coast ports, positioning them as preferred destinations for global shippers. By improving conditions for workers and ensuring competitive advantages, the agreement aims to attract more cargo and maintain the ports’ standing as primary gateways for goods entering and leaving the United States.
The negotiations leading up to this agreement were not without their challenges. The union raised concerns about the decline in wages and benefits compared to the escalating revenues of the association. Meanwhile, the association accused the union of participating in work slowdowns that resulted in rolling closures of container terminals. However, with the assistance of acting U.S. Secretary of Labor Julie Su, a tentative agreement was reached in June, leading to the final ratification by union members.
Overall, this contract highlights the importance of collaboration and compromise in resolving labor disputes and securing the future of the West Coast ports. With a renewed focus on competitiveness, job security, and employee well-being, the agreement sets the stage for continued growth and economic prosperity in the region as global trade continues to expand.
