A three-day strike that shut down shipping on the US east and Gulf coasts has ended following a tentative agreement between dockworkers and port operators, averting potential billions in economic losses, Al Jazeera reports.
The International Longshoremen’s Association (ILA) and the US Maritime Alliance announced Thursday evening that they had reached a tentative agreement on wages, although details remain undisclosed. The agreement also extends their master contract until January 15, 2024, allowing both sides to return to the bargaining table to negotiate other outstanding issues.
“Effective immediately, all current job actions will cease and all work covered by the Master Contract will resume,” the joint statement read.
The strike, which began on Sunday, involved 45,000 port workers across 36 ports from Maine to Texas. The dispute arose over wages and the automation of tasks at ports, occurring during the peak holiday shopping season.
By Wednesday, at least 45 container vessels were anchored outside strike-hit ports, unable to unload their cargo. This number had risen significantly from the mere three vessels waiting before the strike commenced.
According to Reuters, the tentative agreement includes a wage hike of around 62 percent over six years, citing an unnamed source familiar with the matter. The union had initially sought a 77 percent raise while the employer group offered a nearly 50 percent increase.
US President Joe Biden welcomed the agreement, stating that it represented “critical progress towards a strong contract.”
While the agreement brings relief to businesses and consumers facing potential supply chain disruptions, the negotiations will continue in the coming months to address other outstanding issues.
