The International Longshoremen Association (ILA) is vowing to strike again at the end of the month following a disagreement with the United States Maritime Alliance (USMX) over a proposed contract extension and six year master contract.
The ILA’s current contract with USMX is due to end on 29 December 2012, but this week, the two parties met to discuss a new short term contract extension which has been put forward by the Federal Mediation and Conciliation Service (FMCS). Also under negotiation was USMX's new six year master contract which offers wage increases, container royalty protection, healthcare benefits and financial assistance.
One of the key issues to be discussed was container royalty which has been created to protect ILA workers from job losses created by containerisation and its introduction of automated cargo. As part of the new contract, USMX has revised its container royalty term. The company has offered to protect current recipients of the payments but refuses to make new employees eligible.
The new short term extension proposed that the current contract be extended until 1 February 2013, provided that the management take the container royalty payments issue off the agenda.
But, it seems that both parties came away from the negotiations believing talks had broken down and both sides are pointing the finger of blame at each other.
James A Capo, chairman and CEO of USMX, said: “USMX and its members are disappointed with the breakdown of negotiations and the inflexible stance that the union’s leaders have maintained over the nine month course of these talks.”
Harold J Daggett, president of ILA, added: “USMX seems intent on gutting a provision of our Master Contract that ILA members fought and sacrificed for years to achieve.”
It’s not the first time that the East Coast longshoremen have thrown the possibility of a strike into the mix over the same issue. A breakdown in contract talks between the ILA and USMX resulted in the same situation back in August over the encroaching contract expiration.