The three-day strike that halted operations at US ports along the East and Gulf Coasts has concluded, after the International Longshoremen’s Association (ILA) reached a tentative agreement with the United States Maritime Alliance (USMX) on wage increases.
The strike, which had seen 45,000 dock workers walk out across 36 ports from Texas to Maine, was the first of its kind since 1977.
Following the deal, which is expected to include a wage increase of approximately 62%, workers will resume their duties immediately, the union announced. The agreement allows the parties to return to the bargaining table to address remaining issues until the tentative deal’s expiration in January.
The strike had sparked concerns about potential economic disruption, with analysts from JP Morgan estimating that the walkout could cost the US economy as much as $5 billion each day. The looming threat of supply chain delays and shortages had prompted calls for swift resolution from multiple stakeholders.
Record wage increase
President Joe Biden, speaking after the tentative deal was reached, praised the outcome and expressed optimism that it would hold. “Today’s agreement, which includes a record wage increase, represents significant progress toward a stable and fair contract,” Biden said. “I thank the union workers, carriers, and port operators for their commitment to reopening our ports and ensuring critical supplies are available, especially in the wake of Hurricane Helene’s impact.”
Biden emphasized that the agreement underscored the value of collective bargaining as a tool for building a stronger economy. “Collective bargaining is essential for an economy that grows from the middle out and bottom up,” he added.
Vice President Kamala Harris also expressed her support for the agreement, reiterating the importance of fair compensation for workers. “As I have often said, our economy functions best when workers share in record profits,” she said. “Dockworkers deserve a fair share for their vital role in moving essential goods to communities across America.”
The ILA and USMX plan to return to the negotiating table to finalize outstanding details of the contract. Meanwhile, port operations have resumed, offering some relief to businesses and consumers who had feared supply chain disruptions and potential shortages due to the strike.