News / Automation issues bring USMX-ILA negotiations to a standstill

Negotiations between US east coast port employers and their employees over a new master contract appear to have been put on ice again, after employer association USMX issued a statement that suggested talks had broken down over automation.

“Over the last two days, USMX met with the ILA to bargain and resolve all remaining outstanding issues needed to reach agreement on a new master contract.

“While we had positive progress on a number of issues, we were unable to make significant progress on our discussions that focused on a range of technology issues,” it said.

It added that it looked “forward to resuming negotiations with the ILA”, implying that the current round of talks had ended inconclusively with the extended deadline looming a little over two months away, on 15 January.

However, a subsequent ILA statement was far more direct and said that ” talks broke down when management introduced their intent to implement semi-automation—a direct contradiction to their opening statement where they assured us that neither full nor semi-automation would be on the table”, it said.

“Unfortunately, the ILA is insisting on an agreement that would move our industry backward by restricting future use of technology that has existed in some of our ports for nearly two decades – making it impossible to evolve to meet the nation’s future supply chain demands,” USMX said.

“The USMX has been clear that we are not seeking technology that would eliminate jobs. What we need is continued modernisation that is essential to improve worker safety, increase efficiency in a way that protects and grows jobs, keeps supply chains strong, and increases capacity that will financially benefit American businesses and workers alike,” it added.

Earlier this month, freight forwarders in the region told The Loadstar many of them expected a second stoppage next year.

Team Worldwide’s SVP international, Bob Imbrani, explained that “for the union automation is an existential issue, as a reduction of its numbers over time would diminish its standing”.

However, the ILA claimed it has not opposed modernisation and pointed to the port productivity gains seen at east and Gulf coast terminals in recent years.

“The ILA has always supported modernization when it leads to increased volumes and efficiency. For over 13 years, our position has been clear: we embrace technologies that improve safety and efficiency, but only when a human being remains at the helm. Automation, whether full or semi, replaces jobs and erodes the historical work functions we’ve fought hard to protect.

“Look at our achievements: in one of the major terminals in the Port of New Jersey, we’ve increased daily gate moves to nearly 10,000 – a dramatic improvement from the 1,500 moves that once marked a busy day.

“What’s more, the ILA is processing these 10,000 moves in approximately the same amount of time it used to take for 1,500.

“Contrast this with automated terminals worldwide, which consistently lag behind in productivity. Automation is not the panacea it’s often portrayed to be,” its statement said.

“It’s disheartening that after making strides in our talks, management resorted to tactics designed to mislead and divide.

“They’ll likely claim they’re offering to meet our manning proposals as a compromise, but we see through this ploy. Their endgame is clear: establish semi-automation now and pave the way for full automation later.

“We’ve seen this bait-and-switch strategy in other parts of the world and in other industries, and we will not let it happen on the East and Gulf Coasts,” it added.