Deal reached in West Coast Port Shutdown

The Pacific Maritime Association and the International Longshore and Warehouse Union announced a tentative agreement Friday on a new five-year contract covering workers at all 29 West Coast ports.

The deal was reached with assistance from U.S. Secretary of Labor Tom Perez and Federal Mediation and Conciliation Service Deputy Director Scot Beckenbaugh. The parties will not be releasing details of the agreement at this time. The agreement is subject to ratification by both parties.

“After more than nine months of negotiations, we are pleased to have reached an agreement that
is good for workers and for the industry,” said PMA President James McKenna and ILWU
President Bob McEllrath in a joint statement. “We are also pleased that our ports can now resume full operations.”

National Retail Federation President and CEO Matthew Shay said that as welcome the news, we must dedicate ourselves to finding a new way to ensure that this nightmare scenario is not repeated again.

“If we are to truly have modern international trade, supply chain and transportation systems, we must develop a better process for contract negotiations moving forward,” Shay said. “We must commit whatever resources necessary to ensure that this will not happen again.”

Shay added that the congestion, slowdowns and suspensions over the last few months have had a significant economic impact on the entire supply chain and those who rely on the West Coast ports to move their goods and products around the world and throughout the country.

“This agreement, which provides certainty and keeps our ports open for business, is great news for the parties involved, including the longshoremen, the PMA, shippers in America and around the world, and the U.S. economy,” said U.S. Secretary of Commerce Penny Pritzker. “Across the country, American businesses and workers have been affected by this situation, and I have heard many of their concerns and seen the impact firsthand.”