East Coast Port Employers and Longshore Union Face Jan. 15 Deadline to Reach New Agreement

October 24, 2024

International

USMX, ILA face Jan. 15 deadline to reach new agreement

While a tentative wage agreement was struck earlier in October between the ILA and USMX, the existing contract was extended until January 15, 2025 which means ongoing negotiations on unresolved issues. Bottom line: This issue is far from over and eShipping is encouraging shippers to continue proactive planning to mitigate risks of supply chain disruption should there be another strike on the horizon.

Proactive Planning: What Importers Can Do Now

Importers are being urged to act now to mitigate the risks posed by the strike. Here are some key steps businesses can take to prepare:

Frontload Orders: By boosting inventory ahead of the deadline, businesses can reduce the impact of any delays caused by the strike.
Explore Alternate Routes: Shippers should consider transpacific and transatlantic contingencies, including Mini Landbridge (MLB) services through the U.S. West Coast or shipping through Canadian ports, although rail strikes may also pose a challenge.
Diversify Supply Chains: With global logistics still in flux, diversifying routes and suppliers can help reduce dependency on a single region.

As the January 15th contract expiration nears, our team will continue to monitor the situation and remain ready to assist with any proactive planning and contingency strategies needed to navigate these uncertain times.