A new six-year labor contract between the International Longshore and Warehouse Union (ILWU) and the Pacific Maritime Association (PMA) has been reached. The deal, announced on June 15, 2023, ends a tension-filled 9-day work stoppage among a small contingent of workers that had underscored the need for a compromise at the ports.

The new contract includes some important provisions, including:

  1. Wage increases of 5% per year for the duration of the contract.
  2. Increased health benefits for employees.
  3. Improved safety measures for workers.
  4. A commitment to hiring and promoting more women and minorities.

The new contract is a positive development for the West Coast ports and the entire supply chain, as 40% of all ocean cargo arrives and departs the US via those ports. It will help to improve efficiency, reduce costs, and create a more sustainable future for the industry.

As a leading logistics and supply chain solutions provider, ITG is pleased that the ILWU and the PMA reached a new labor contract. We are confident that the new contract will help to ensure that the West Coast ports remain a vital part of the global supply chain and that disruption will return to a minimum.

We are also excited about the opportunities that the new contract creates for our clients, considering the disruption that had cautioned shippers over the last thirteen months. Now that we can expect stable operations to return in this busy region ITG is able to fully leverage our exceptional network of carriers to provide lower costs, fewer delays, and worry-free service. As we are committed to providing our customers with the best possible service, the new contract will help us do just that.

ITG’s exceptional team of experts is here to help you navigate the changes and ensure that your goods are delivered smoothly and efficiently no matter which port they pass through. Please contact us to learn more about how we can help you.