A second strike at the East and Gulf Coast ports has been averted after dockworkers and port operators reached a tentative labor agreement on Jan. 8.

With less than a week to the deadline, the International Longshoremen’s Association, the union representing dockworkers, and the United States Maritime Alliance, the negotiating group representing port operators, have come up with a six-year master contract which, if approved, seemingly puts to bed lingering concerns over automation at ports.

The deal still awaits the union’s ratification vote, and details will not become available until the final documents are reviewed and approved by both parties.

In October 2024, the dockworkers went on a short-lived work stoppage before they reached a tentative agreement on wages and extended their master contract until Jan. 15. The parties have been divided on automation since.

Check out this MDM Podcast for more details: Unraveling the Port Standoff (Oct. 16)

While it’s still not clear which of the two sides has conceded enough to find common ground on the negotiation’s biggest sticking point, for now, both sides touted the agreement as a “win-win” in a joint statement.

“This agreement protects current ILA jobs and establishes a framework for implementing technologies that will create more jobs while modernizing East and Gulf coasts ports – making them safer and more efficient, and creating the capacity they need to keep our supply chains strong,” the parties wrote.

PREMIUM: Brace and Rebound – How Distribution Navigates a Port Strike (Oct. 17)