Port Strike Looms: Automation Standoff Threatens US Supply Chain

Automation Stalemate Threatens to Disrupt Port Operations

As the clock ticks down to a potential strike that could cripple port operations from New England to Texas, the United States Maritime Alliance (USMX) and the International Longshoremen’s Association (ILA) remain deadlocked over the use of automation at ports.

Sticking Point: Automation

Recent negotiations, the first since the three-day ILA strike in early October, have made little progress on the issue of automation, according to the USMX. The group, which represents port owners, claims that the ILA is insisting on an agreement that would restrict the use of technology, making it impossible to meet future supply chain demands.

The Dispute: Semi-Automated Cranes

At the heart of the dispute is the use of cranes with semi-automated capabilities, which have been in operation at some ports for nearly two decades. These cranes use real-time data and positioning systems to move and identify priority containers for pickup, operated by union workers using a remote control in an indoor operator’s station.

ILA’s Hardline Stance

ILA President Harold Daggett has consistently opposed automation, vowing to “tighten the language that no automation means no automation.” His son, Dennis Daggett, executive vice president of the ILA, has gone as far as to call automation a “cancer” that threatens to replace human jobs.

USMX Counters

The USMX maintains that it is not seeking to eliminate jobs, but rather to modernize port operations to improve worker safety, increase efficiency, and benefit American businesses and workers alike.

Industry Concerns

The stalemate has sparked concerns among industry leaders, with Stephen Lamar, CEO of the American Apparel and Footwear Association, urging the ILA to return to the negotiating table to resolve outstanding issues and prevent further disruptions to port operations.

Mixed Research on Automation’s Impact

Research on the impact of automation on union jobs is mixed, with some studies suggesting that automation can increase jobs, while others argue that it leads to job losses and reduced wages.

As the January 15 deadline looms, the fate of port operations hangs in the balance. Will the USMX and ILA find common ground on automation, or will the dispute escalate into another strike? Only time will tell.

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