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ALA: All Indications Are ‘Strongly Pointing Towards’ Port Strike

• WASHINGTON

The American Logistics Association (ALA) believes that strikes at East Coast and Gulf Coast ports are imminent, with automation continuing to slow port labor negotiations.

“Currently, all indications are strongly pointing towards an International Longshoremen’s Association (ILA) strike to be held on Wednesday, Jan. 15,” said ALA President Steve Rossetti. “This is critical for all export and imported goods coming and going through the Gulf and East Coast ports.”

Reports are that negotiations between the ILA and the United States Maritime Alliance (USMX) did not go as planned last month, with four days of scheduled meetings coming to an end after only nearly two days.

Such a strike is not without precedence. A prior, and relatively brief, three-day strike preceded this latest threat. That strike commenced on Oct. 1 after the expiration of their previous six-year master contract, which resulted in 36 East and Gulf Coast ports, stretching from Maine to Texas, going on strike for the first time since 1977, when that work stoppage lasted 45 days.

“For every day a port is closed, it could take three to five days to catch up,” Rossetti noted. “We are preparing for the worst and hoping for the best.”

GENESIS OF THE STRIKE

Although strike negotiations have broken down, that has not stopped the parties from making their respective cases in regards to their specific needs for a new master contract.

“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 ILA countered, saying that for the first day and a half of meetings last month, discussions were productive, and both sides engaged in addressing serious issues, but talks subsequently broke down when management introduced their intent to implement semi-automation, which ILA labeled “a direct contradiction to their opening statement where they assured us that neither full nor semi-automation would be on the table.”

ILA added that USMX claimed their focus was on modernization, not automation. 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,” ILA said. “Automation, whether full or semi, replaces jobs and erodes the historical work functions we’ve fought hard to protect.”

ORDERING SCHEDULE, RECEIVING GUIDELINES

In the event of a strike, the Defense Commissary Agency (DeCA) and distributors such as SpartanNash would be greatly impacted.

The following is the DeCA ordering schedule and SpartanNash receiving guidelines and other pertinent information if and when a strike occurs.

ILA 2.0 strike: Wednesday, Jan. 15, 2025

  • Last ship cut off into the port: Friday, Jan. 10
  • Receiving at the Norfolk, Va., Distribution Center is available on Saturday and Sundays until and including Jan. 4 and Jan. 5.
  • 100-percent fill rate.
  • Two last Europe ordering dates: Wednesdays, Dec. 11 and Dec.18 unless the strike has been settled.
  • Please ensure product is sent into to Norfolk as early as possible.
  • All Chill and date-sensitive product has maximum shelf life as no one knows the certainty of the strike timeline.
  • Passover is the most critical holiday and will be placed on Dec. 11.
  • Fort Buchanan, P.R., and Guantanamo Bay, Cuba, are the only two destinations not affected by the strike. They will be business as usual but expect higher-than-normal orders.
  • The last two DeCA Europe order dates prior to the Jan. 15 potential ILA strike:
  • Order date Dec. 1: The last frozen and dry (F/D) transmitted orders for Europe.
  • Heavy orders of F/D, normal Chill (C) orders.
  • Ship date on orders is Jan. 7.
  • Drop-dead receiving dates:  Frozen is Jan. 2; Chill is Jan. 3; Dry is Jan. 2.
  • Order date Dec. 18; The last Chill and Critical transmitted orders for Europe.
  • Heavy orders of Chill and critical products.
  • Ship date on orders is Jan. 14.
  • Drop-dead receiving date is January 8.

 

SpartanNash assisted in the creation of this story.