That is unprecedented information. The Worldwide Longshore & Warehouse Union (ILWU) is definitely going to vote on an early contract extension.
The Worldwide Longshore and Warehouse Union (ILWU) stated Friday that rank and file members of its longshore division could have a chance to vote on a proposal to increase their present contract with employers for an extra three years past the present July 1, 2019 expiration date.
I didn’t wish to get shippers, and everybody else within the provide chain, too enthusiastic about this information. In spite of everything, the ILWU approving an early contract extension can be a serious narrative change. Traditionally, it has been a coverage of the dockworker unions, each the ILWU and Worldwide Longshoremen’s Affiliation (ILA), to by no means prolong or conform to a brand new contract earlier than the expiration of the earlier one. And simply because an extension is being voted on doesn’t imply it will likely be handed.
Nonetheless, my sources say there’s a superb probability that the ILWU rank and file will really approve the extension.
The truth is, once I requested David Griffen, a longshoreman who granted Common Cargo an interview through the contentious ILWU contract negotiations of 2014/2015, in regards to the contract extension vote, he stated, “I believe she passes.”
Right here is his response to my inquiry on Twitter:
Regardless of Mr. Griffen saying I in all probability know when the vote is going on, I do not need that data to share. The ILWU has not launched the date of the vote to the general public. Nonetheless, Griffen’s remark that ballots are going out quickly means there shouldn’t be an extended wait earlier than discovering out if he’s proper in regards to the extension passing.
Nearly from the second the present contract was ratified, teams throughout the provision chain started urging the ILWU and Pacific Maritime Affiliation (PMA) to start early contract negotiations for the subsequent contract. There was in all probability no voice louder than that of the Nationwide Retail Federation, however the urging for early contract negotiations got here from producers, farmers and agribusinesses, wholesalers, retailers, importers, exporters, distributors, transportation and logistics suppliers, different provide chain stakeholders, and even politicians.
Regardless of so many desirous to see an early contract extension, few in all probability thought it will occur, even when the PMA and ILWU met a few contract extension. That an early extension is definitely being voted on and anticipated to be handed by members of the rank and file is a really nice shock.
The extension does include pay bumps for ILWU members. Chris Dupin shared the next particulars in regards to the extension from an unnamed supply:
• A wage improve of three.1 % per yr over the bottom wage fee of $42.18 per hour, which quantities to an hourly improve of $1.31 the primary yr, $1.35 the second yr and $1.39 the third yr;
• A rise in pensions, with the utmost pension leaping from $88,000 to $95,460 by 2022, nevertheless, one supply stated that determine was deceptive since most members don’t obtain the utmost (Surviving spouses obtain a 75 % profit);
• A 3-year early retirement “window” for members with no less than 13 years of service to encourage early retirement;
• And upkeep of advantages for the union healthcare program, with no premiums, restricted deductibles and a $1 co-pay for prescribed drugs.
Common Cargo has saved an in depth eye on this example due to the impression contract negotiations have and might have on shippers. We’ll proceed to maintain you up to date. You possibly can atone for the lead-up to this contract extension vote within the blogs listed beneath.