HOUSTON – The Port of Houston is facing a looming strike and work stoppage if a contract dispute between The International Longshoremen’s Association (ILA) and the United States Maritime Association (USMX) isn’t resolved by Tuesday, October 1st.
MORE: 5 things to know about looming port strikes that could impact Houston, East Coast
The ILA which represents about 45,000 dockworkers is demanding higher wages and a ban on crane automation.
“So at this point, you’re dealing with a union that’s all American workers,” said Ed Emmett, a fellow in Energy and Transportation policy at Rice University’s Baker Institute. “And the ship owners are pretty much all foreign owners. And if you listen to what the unions are saying, they’re saying, ‘look, these foreign owners have made billions and billions of dollars off the supply chain of the U.S. And the ILA is saying it’s their time to get part of that.”
SEE ALSO: Owner of trucking business scrambling for options as port strike imminent in Houston
A strike by the ILA workers would be the first by the union since 1977 and could have major impacts on the U.S. economy
“For every day that the port, a typical port is shut down, it’ll take up to five or six days to clear that. And so you can just do the math, if this thing lasts a week, then you’re probably looking at a month before things get back to normal,” said Emmett.
Emmett told KPRC 2 he believed fruit, vegetables, and automobiles would be among the items most impacted.
“Fruits and vegetables, anything coming from Europe, for example, automobiles, automobile parts coming out of out of Europe for those car manufacturers,” said Emmett.
Emmett added that the impacts on consumers could be kept to a minimum if a deal is reached within a week or two.
RELATED: Port of Houston faces shutdown amid dockworkers strike threat. How it could affect your shopping
KPRC 2 reached out to ILA and obtained this statement:
The International Longshoremen’s Association (ILA) reports that United States Maritime Alliance (USMX) continues to block the path toward a settlement on a new Master Contract by refusing ILA’s demands for a fair and decent contract and seems intent on causing a strike at all ports from Maine to Texas beginning in almost 12 hours.
“The Ocean Carriers represented by USMX want to enjoy rich billion-dollar profits that they are making in 2024, while they offer ILA Longshore Workers an unacceptable wage package that we reject”, the ILA said. “ILA longshore workers deserve to be compensated for the important work they do keeping American commerce moving and growing. It’s disgraceful that most of these foreign-owned shipping companies are engaged in a ‘Make and Take’ operation: They want to make their billion-dollar profits at United States ports, and off the backs of American ILA longshore workers, and take those earnings out of this country and into the pockets of foreign conglomerates. Meanwhile, ILA dedicated longshore workers continue to be crippled by inflation due to USMX’s unfair wage packages. "
“In addition, the shippers are gouging their customers that result in increased costs to American consumers. They are now charging $30,000 for a full container, a whopping increase from $6,000 per container just a few weeks ago. In just a short time, they went from 6K, to 18K, then 24K and now $30,000. It’s unheard of and they are doubling their $30,000 fee stuffing the same container from multiple shippers. They are killing the customers.”
The ILA will continue to update the media as information becomes available. The ILA will not engage in one-on-one interviews today, Monday, September 30, 2024.
KPRC 2 also reached out to the USMX but has yet to hear back.