Shippers urge ILWU, PMA to start contract negotiations

Trade organizations representing shippers and transportation organizations on Monday sent a letter to ILWU President Robert McEllrath and PMA Chairman and CEO James McKenna, requesting discussions begin on either a contract extension or a new contract.    A group of 128 trade organizations representing shippers and transportation organizations have joined together to urge the International Longshore and Warehouse Union (ILWU) and their employers, represented by the Pacific Maritime Association (PMA), to begin contract talks.
   “We applaud your organizations for considering an extension of the current contract. However, we now call upon you to agree to the requests and begin the negotiations,” they said in a letter sent Monday to ILWU President Robert McEllrath and PMA Chairman and CEO James McKenna.
   The letter was signed by manufacturers, farmers and agribusinesses, wholesalers, retailers, importers, exporters, distributors, transportation and logistics providers, and other supply chain stakeholders. Shipper groups that signed the letter included the Agriculture Transportation Coalition, the National Retail Federation, and the U.S. Chamber of Commerce, while transportation groups that signed it included the American Trucking Associations and the National Customs Brokers and Forwarders Association of America.
   The letter was a follow up to similar correspondence on March 15 that encouraged the ILWU and PMA to begin early discussions on either a contract extension or a new contract.
   “You have both recognized the negative economic impact of disruptions and slowdowns that occurred during the last negotiations,” the letter sent today said, referring to slowdowns and reduced hours that marked the contentious contact talks between the ILWU and employers in 2014-15.
   “We believe starting negotiations early will help avoid a repeat of that experience.”
   The letter also added, “We strongly believe a contract extension is critical to ensure stability and predictability at West Coast ports. A new model for future negotiations needs to be developed, one which stresses early and continuous dialogue. This should include a pledge by both parties to ensure there are no disruptions to cargo movement during negotiations. Maintaining the arbitration mechanisms in the existing contract for the duration of the negotiations, even if the contract expires before a final agreement is reached, is critical to that process.”