U.S. Dockworkers Approve 6-Year Contract

Dockworkers on the U.S. East and Gulf coasts overwhelmingly approved a six-year contract recently, averting the threat of a strike that could have crippled the economy.

The yes vote was expected after the leadership of the International Longshoremen’s Association (ILA) union reached a tentative contract agreement in January with the U.S. Maritime Alliance of ports and shipping companies.

The alliance approved the contract last month, and recently rank-and-file members voted for it with nearly 99% in favor, the union said in a statement.

The contract calls for a 62% pay hike over six years that would lift hourly wages at the top of the union pay scale from $39 an hour to $63 an hour. ILA President Harold Daggett, who served as the union’s chief negotiator, was quoted in the statement as saying the agreement is “the ‘gold standard’ for dockworker unions globally.”

The union and the alliance also reached a truce on the most contentious labor issue on America’s docks: automation.

EDITOR’S TAKE:

This is good news for ag and automobiles. Both stood to be greatly impacted had a full-blown strike and shut down of ports occurred. Water borne shipping has become such an important element in getting products to and from our trading partners that any disruption (as we witnessed during the Covid epidemic) can have a devastating impact on our supply chains. We felt it was important to bring this news to you since we previously reported on the threat of a strike and what was at stake. Let’s breathe a sigh of relief and get back to selling trucks to farmers/ranchers. Be sure to put them at or near the top of your prospect list.