ILA Port Strike 2024: What Ports Are Affected & More
On October 1st, 2024 the International Longshoremen’s Association (ILA), representing over 45,000 dockworkers, officially launched a strike at 36 ports along the East Coast and Gulf Coast of the United States. The strike began at midnight on October 1, 2024, after negotiations between the ILA and the United States Maritime Alliance (USMX) failed to produce an agreement.
The ILA, the largest union of maritime workers on the U.S. East Coast, represents longshoremen working at ports from Maine to Texas. The USMX, the organization representing shipping companies and port operators, has been negotiating with the ILA for several months to reach a new labor contract after the previous six-year master agreement expired.
The strike emerged from two separate issues: wage increases and the growing concern over automation at U.S. ports. The ILA is demanding a significant pay raise, citing inflation and the record profits made by shipping companies during the pandemic. The union is also pushing for strong protections against automation, which they believe threatens job security for dockworkers. The USMX, while offering wage increases and some limitations on automation, has not met the ILA’s demands for a complete ban on automation.
Reports and estimates have varied between sources regarding the dollar-amount impact of the strikes but all agree that the strikes will cause significant disruptions to the U.S. supply chain, especially if it extends beyond a few weeks.
At this time, both President Biden and former President Trump have come out with support for the ILA, further adding to the sentiment that the strike will not end quickly.
Of the 36 U.S. ports across the U.S east coast and U.S. gulf region, the following ports are expected to be most affected by the strike:
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The remaining ports, below, are reported to be minimally affected if at all by the strikes for a number of reasons including goods handled, services provided and lower amounts of ILA unionized personnel:
Freight Right has begun advising and diverting cargo for our customers from affected ports to Port of Los Angeles and Port of Long Beach from around August, anticipating the strike would happen. We are now starting to see port turnaround times get longer in Port of Los Angeles and Port of Long Beach. Our hope is that being at the end of the peak season and the season being overall subdued due to economic conditions, the disruption may be somewhat limited.
Both Port of Long Beach and Port of Los Angeles are forecasting a significant spike the week of 10/13/2024, up around 45% from this week, the week of 9/30/2024. However, Port of Long Beach's forecast shows regular volumes after that week. POLA does not show the forecast past 10/13 yet.
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