East and Gulf Coast ports strike deal is not close to done: Automation still a big hurdle in ILA/USMX negotiations [CNBC]
MITSUI O.S.K. LINES U/ADR (MSLOY)
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Source: CNBC
deal on wage increases, still leaves the contentious issue of port automation to resolve by a Jan. 15 deadline. Logistics executives who breathed a sign of relief on Thursday night when the deal to reopen ports was announced say automation will be a “major stumbling block” and 100 days is may not be enough time to resolve the differences between labor and management. Many U.S. ports remain laggards on automation compared to the rest of the world, and the union has used aggressive rhetoric in discussing it, with Dennis Daggett, executive vice president of the ILA and ILA president Harold Daggett's son calling automation a “cancer.” The tentative agreement to suspend the International Longshoremen's Association strike may have consumers and businesses breathing a sigh of relief. Still, the deal is far from done, according to logistics experts. The union and port ownership reached agreement on a wage increase in a new master contract, but port automation remains a critical issue to
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