Tentative US West Coast port contract deal reached, union and employers say
2023.06.14 23:24
© Reuters. FILE PHOTO: A container ship is docked at the Ports of Los Angeles and Long Beach, California in this aerial photo taken February 6, 2015. REUTERS/Bob Riha Jr/File Photo
By Lisa Baertlein and Kanjyik Ghosh
(Reuters) -The Longshore union and employers of 22,000 dockworkers at U.S. West Coast ports on Wednesday said they have reached a tentative deal on a new six-year contract covering all ports, ending 13 months of talks and easing supply chain worries.
The deal was reached with assistance from Acting U.S. Labor Secretary Julie Su, the International Longshore and Warehouse Union (ILWU) and the Pacific Maritime Association (PMA) employer group said in a joint statement.
The agreement, covering workers at ports stretching from California to Washington State, is subject to ratification by both parties.
“The tentative agreement delivers important stability for workers, for employers and for our country’s supply chain,” Secretary Su said in a statement on Wednesday.
PMA President James McKenna and ILWU International President Willie Adams said in a joint statement: “We are also pleased to turn our full attention back to the operation of the West Coast Ports”.
The PMA declined to provide additional details on the agreement, and the ILWU did not immediately respond to a request for further comment.
Workers subject to the agreement are based at some of the nation’s busiest seaports, including the No. 1 ocean trade gateway at Los Angeles/Long Beach. They have been working without a contract since July 1 and have been seeking a share of pandemic cargo surge profits and retroactive pay.
The tentative deal comes as retailers like Walmart (NYSE:) and Target (NYSE:) are importing merchandise for the critical back-to-school, Halloween and Christmas retail shopping seasons. Manufacturers, automakers and food producers who import or export goods also rely on the Pacific Coast ports.
West Coast port marketshare dipped after some customers shifted cargo rival East Coast and Gulf Coast ports to avoid potential labor disruptions during the negotiations.
“The tentative agreement between the ILWU and the PMA brings the stability and confidence that customers have been seeking,” Port of Los Angeles Executive Director Gene Seroka said on Twitter. “We look forward to collaborating with our partners in a renewed effort to bring back cargo.”
