Strike Preparations at Port of New York-New Jersey

Union Dockworkers Set Strike Deadline

The Port of New York-New Jersey, the second-busiest U.S. ocean container port, has advised shippers to reduce their cargo business as a strike deadline set by union dockworkers approaches. Port Director Bethann Rooney has released a letter to customers detailing the operational plans during the strike.

International Longshoremen’s Association to Walk Off Job

The International Longshoremen’s Association, which represents 25,000 members in container and roll-on/roll-off services, will walk off the job when the contract with port employers represented by the United States Maritime Alliance (USMX) expires at midnight Oct. 1. This contract covers workers at three dozen ports from Maine to Texas, handling around $92 billion worth of freight each year. No contract negotiations are currently scheduled, with the main issues being wages, benefits, and port automation.

Union Terms Wage Offers as "Stingy"

The union has termed the latest wage offers as "stingy" and has disputed claims by USMX that the union is demanding wage hikes of more than 75% over a proposed six-year agreement. Few details about any contract proposals have been made public, and neither the ILA nor USMX has responded to requests for comment.

Import and Export Cargo Plans

Rooney has advised that it is crucial for import cargo to be picked up before close of business on Monday, Sept. 30, as there will be no opportunities to deliver any cargo once the strike begins. The port plans to establish an Incident Management Team for the duration of any work stoppage. Export cargo will not be accepted at any of the terminals unless it can be loaded onto a vessel before Sept. 30. Shippers should prioritize refrigerated containers and hazardous materials cargo, which will not be monitored or adjusted after next Monday.

Extended Gate Hours and Last Trains

Terminal operators APM Terminals, Maher, and Port Newark Container Terminal will have extended gate hours. The last trains for imports and exports are scheduled for Monday. The last CSX train will arrive at the port on Sunday. Norfolk Southern has announced gate closures across several ports and advised shippers to make alternate plans for moving hazardous, high-value, and refrigerated international shipments to avoid unexpected delays en route. The port’s Truck Service Center will be closed for the duration of the work stoppage.

Bottom Line

The impending strike at the Port of New York-New Jersey could have significant implications for the shipping industry. With no contract negotiations scheduled and major issues such as wages, benefits, and port automation unresolved, the potential for disruption is high. As shippers scramble to pick up their import cargo and make alternate plans for their exports, it remains to be seen how this situation will unfold. What are your thoughts on this matter? Feel free to share this article with your friends. Don't forget to sign up for the Daily Briefing, available every day at 6pm.