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Tentative agreement reached in ILA Strike at U.S. ports, including Mobile

The International Longshoremen’s Association launched its first strike in decades earlier this week after contract negotiations between the union and the United States Maritime Alliance reached an impasse. Members of the labor organization are requesting a 77% pay raise to compensate for inflation.

Following news of the strike, Alabamians across the state expressed concern about the potential impact it could have on their daily lives. With approximately 900 ILA members at the Port of Mobile alone, the strike would have a direct effect on the state and its residents.

On Wednesday, the ILA and the Alabama Port Authority announced that a tentative agreement on wages had been reached, and the contract in question has been extended until January 15, 2025.

REALTED: UAB economist: Dockworkers strike could negatively impact Thanksgiving, Christmas

“Our economy depends on positive and productive relationships between corporations and the workers they rely on to serve their customers,” said Alabama Port Authority Director & CEO John Driscoll. “While there is still more work to be done, this is an encouraging step in the right direction as the USMX and the ILA work to finalize terms on a new contract.”

“As I’ve said, a strike isn’t good for anyone—from workers to consumers, our supply chain, and the economy as a whole. Getting the container terminals back to work is critical for all Americans, and the contract extension is significant progress toward a permanent resolution that we are very happy to see.”

In Alabama alone, the daily cost of containers idling due to the strike is estimated at $10 million. Nationwide, these costs reach $500 million per day. Each day a ship sits at anchor costs between $80,000 and $120,000.

ILA leadership believes the strike to be necessary for the betterment of its members.

REALTED: Alabama Port Authority impacted by nationwide dockworkers strike, $100 million daily economic bleed expected

“The ILA is fighting for respect, appreciation, and fairness in a world in which corporations are dead set on replacing hardworking people with automation,” Mobile ILA President Mark Bass told WKRG 5.

Harold Daggett, Chief Negotiator for the International Longshoremen Association, earlier this week threatened to “cripple” the U.S. economy with the strike.

“I will cripple you, and you have no idea what that means. Nobody does,” Daggett said. “When my men hit the streets from Maine to Texas, every single port locked down. You know what’s going to happen? I’ll tell you. First week, be all over the news every night, boom, boom. Second week guys who sell cars can’t sell cars, because the cars ain’t coming in off the ships. They get laid off. Third week, malls are closing down. They can’t get the goods from China. They can’t sell clothes. They can’t do this.”

Austen Shipley is a staff writer for Yellowhammer News. You can follow him on X @ShipleyAusten

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