Negotiations began earlier this month over container royalties – payments made to longshoremen based on the weight of the container cargo – and the extension of the current master contract. After settling container royalties, the ILA agreed to an extension of the master contract by 30 days, to 6 February 2013.
The new agreement, which will allow negotiations to continue, also protected the East Coast from another strike which would have closed 15 ports along the East and Gulf Coast from Maine to Texas, including the Port of Baltimore, which planned to open its Seagirt and Dundalk public marine terminals to avoid a backlog of cargo.
George H Cohen, director, FMCS, added: “The container royalty payment issue has been agreed upon in principle by the parties, subject to achieving an overall collective bargaining agreement. The parties have further agreed to an additional extension of 30 days during which time the parties shall negotiate all remaining outstanding Master Agreement issues.”
