The Main Issues of 2014

The ILWU six (6) year contract will expire on 6/30/2014.

Headline issues of this year’s negotiation:

1. HEALTH CARE: The Affordable Care Act (ACA) or also known as the OBAMA CARE places a tax on “Cadillac” (no premiums, co-pay for medicine of $1) health care plans. Estimated to be approximately $150 million dollars per year. The terminal operators are not going to want to pay this tax.

2. JURISDICTIONAL AUTHORITY: With terminals consolidating the ILWU will be concerned about work possibly moving to non-union labor.

3. PENSION REFORM: Members of ILWU are pushing for unions to take on a greater share of pension contributions.

4. PRODUCTIVITY: Terminals will want to increase automation and technology to streamline productivity.

What can we expect?

Both sides said “they expect cargo to keep moving until an agreement is reached.”

However from past experience we can expect terminal efficiency to decline during the month of June by slowdown or even work stoppage.

Let’s hope for the best.

UPDATE – 5/12/2014

According to www.joc.com “Negotiations have started on an upbeat note.”
Talks are scheduled to continue on a daily basis until an agreement is made.

The International Longshore and Warehouse Union is a labor union which primarily represents dock workers on the West Coast.

Founded: August 11, 1937
Members: 59,500
Office: San Francisco
President: Robert McEllrath
Website: www.ilwu.org

Pacific Maritime Association is to negotiate and administer labor agreements with the International Longshore and Warehouse Union. PMA works on behalf of 72 member companies who are cargo carriers, terminal operators and stevedores that operate along the U.S West Coast. For full membership list of companies please visit http://www.pmanet.org/member-companies.

Founded: 1949
Members: 80
Office: San Francisco
President: James C. McKenna
Website: www.pmanet.org

Please stay tuned in for more updates on the negotiation process.

Thank you.


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