On the evening of October 3, 2024, after three days of striking, the International Longshoremen's Association and the United States Maritime Alliance announced they had reached a provisional agreement, leading to the suspension of the strike as of October 4. According to CNN, citing sources close to the negotiations, the deal includes a $4 per hour wage increase for each year of the contract, spanning six years. This means a 10% increase in the first year, culminating in a 62% overall raise by the sixth year. As a result, dockworkers returned to work while the parties finalize the details of the agreement, which will still require ratification by the workers.
The Biden administration likely played a decisive role in reaching the agreement, as it refused to use its powers to block the strike but dispatched acting Labor Secretary Julie Su to meet with the parties involved, aiming to prevent further escalation. The ongoing strike risked having serious consequences for the economy as well as the electoral campaign. Su had previously helped broker the 2023 agreement between the International Longshoremen's Association and the western port employers' group, the Pacific Maritime Association, which resulted in a 32% wage increase over five years.
This situation is now at a critical juncture, as a majority vote against the provisional agreement by the dockworkers could lead to an indefinite continuation of the strike. A recent precedent involves the Boeing strike. In September, the International Association of Machinists reached a tentative agreement with Boeing’s management, but the workers overwhelmingly rejected it, leading to the resumption of the strike on September 13.
