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Zero automation tolerance
ILA halts contract talks , accuses USMX of semiautomation push
By Michael Angell
The International Longshoremen ’ s Association ( ILA ) has halted negotiations with maritime employers over a new master contract for a second time due to what it called the United States Maritime Alliance ’ s ( USMX ) “ continued pushing [ of ] automation and semiautomation language in its master contract proposal that will eliminate jobs .”
“ The USMX introduced language in their proposal for semi-automated equipment to be used at ILA ports , which the union outright rejected ,” the union said in a statement Nov . 13 . “ The ILA recognized this as a renewed attempt by USMX to eliminate ILA jobs with automation and broke off talks .”
In a separate statement , the USMX said negotiators had been “ unable to make significant progress on our discussions that focused on a range of technology issues .”
“ Unfortunately , the ILA is insisting on an agreement that would move our industry backward by restricting future use of technology that has existed in some of our ports for nearly two decades — making it impossible to
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evolve to meet the nation ’ s supply chain demands ,” the USMX added .
The ILA , which represents about 45,000 dockworkers at ports along the US East and Gulf coasts , staged a three-day strike in early October . A tentative deal on wages ended the work stoppage and extended the existing contract until Jan . 15 , giving the union and employers three months to hammer out a final agreement .
Neither side elaborated on the specific technology at issue . But a source familiar with the talks pointed to rail mounted gantry ( RMG ) cranes as the source of friction between the union and employers .
RMGs are used to stack containers coming off ships for placement on truck chassis , allowing for more dense stacking of containers within a yard .
The RMGs are operated by longshore workers remotely within offices , unlike other types of terminal equipment that require a human operator directly on the equipment . A longshore worker can also operate multiple RMGs at one time .
The Port of Virginia ’ s two main marine terminals have used RMGs since 2014 . The former GCT Bayonne terminal at the Port of New York and New Jersey , now owned by CMA CGM , has also used RMGs since 2014 due to the yard ’ s small footprint .
The ILA agreed to the previous implementations of RMG technology . It ’ s unknown if a specific port or marine terminal wants to also implement RMG technology now , the source said , adding , however , that employers would like to have that option available .
email : michael . angell @ spglobal . com
“ The employers will want to put this contract behind them and prioritize strategy for future negotiations in hopes of avoiding a repeat of what happened just before the presidential election .”
Ocean carriers , for whom the US is an important market , have traditionally sought to maintain a low profile , knowing they are foreign entities and politically speaking have few friends in Washington , as was seen when the Ocean Shipping Reform Act of 2022 ( OSRA-22 ) was signed into law over their objections .
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That thinking appears to be part of the union ’ s calculus that , at the moment , it holds all the cards and if so , why not seize the day in seeking to not just prevent an expansion of automation , but to roll back employers ’ existing automation rights ?
Under that scenario , USMX would live to fight another day and likely take the next few years to re-tool in a bid to fare better in future negotiations .
email : peter . tirschwell @ spglobal . com
December 2 , 2024 | Journal of Commerce 17