Today, members of the International Longshoremen’s Association (ILA) began a major strike along East Coast and Gulf Coast ports after months of unsuccessful negotiations for a new Master contract with the United States Maritime Alliance (USMX) which represents ocean carriers and port operators.

The ILA has asked for a significant wage increase over the length of any new contract as well as barring any new automation to port functions. Discovery of an automated gate system in Mobile, Alabama port led the ILA to leave the negotiating table over the summer. The USMX has encouraged the ILA to return to the bargaining table with increasingly lucrative counteroffers to avoid the strike; however, the ILA has turned down all counterproposals to date.

The strike has stopped all port operations, with no immediate resolution in sight. Shippers who rely on these critical gateways should anticipate significant delays and potential rerouting of cargo as the strike impacts import and export flow across the country.

At Worldwide Logistics Group, we have been closely monitoring the situation and have implemented every measure possible to mitigate the effects on our clients. However, this labor action is expected to cause widespread congestion at alternate ports, transit times will likely increase, and availability of trucking and transload services may become limited as resources are stretched.

At this stage, we encourage clients to stay informed, remain flexible, and expect some deviations from planned shipping timelines. For shippers moving high-priority or time-sensitive goods, we recommend considering expedited ocean and ground options to mitigate congestion delay as much as possible. Air freight is the best option to ensure delays are minimized for highly critical cargo although congestion may build if the strike lingers.

We will continue to provide updates and offer guidance on how to navigate the complexities ahead. Should clients need more information or require support with revised shipping plans, please contact one of our team members.