According to The International Longshoremen’s Association (ILA), they have suspended the strike until early next year. Employees have agreed to a 62% wage increase and will suspend the strike until next year while they negotiate the other terms. One of the terms is preventing artificial intelligence and automation from taking over jobs.
The strike caused panic by consumers who were hoarding things like paper towels and toilet paper even though the ports effected by the strike did not handle those types of items.
The ILA said there should be enough time to negotiate the other terms by next year. However, the suspended strike count resume if they are not able to negotiate the other terms by then.
Port Strikes in U.S. Causes Issues with Economy
Original Report 10/01/2024
The International Longshoremen’s Association (ILA) had rejected the contract with the Maritime Alliance (USMX) Monday and a strike has now begun Tuesday.
The strike effects 36 ports on the East and Gulf coasts. The ILA required better wages and protections against automation and artificial intelligence which would eliminate jobs.
The USMX said they did offer a 50 percent wage increase, better health insurance, and retirement contributions. However, the ILA said the USMX did not include protections against automation and artificial intelligence in the contract.
The 36 ports import and export various products including vehicles, vehicle parts, food, clothing, and many more products. It is estimated that the U.S. economy could lose 3 to 4.5 billion per day during the strike.
The last U.S. port strike was in 1977. It is unknown when the USMX will have another new contract available for the ILA to approve or reject.
