Union hits Newsom veto of measure to block port automation

Bill proposed restricting public funding for tech upgrades

Automated straddle carriers at TraPac's Port of Los Angeles terminal. (Photo: TraPac)
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Key Takeaways:

  • California Governor Gavin Newsom vetoed SB-34, a bill intended to protect longshore jobs by limiting public funds for port automation.
  • Newsom stated the bill would hinder port modernization and competitiveness, preferring an approach that combines modernization with worker protections.
  • Labor unions, particularly the ILWU and ILA, fiercely criticized the veto as a "betrayal" of workers, while shipping interests, environmental groups, and community advocates supported the veto, arguing SB-34 would impede pollution regulation.
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Labor unions criticized California Governor Gavin Newsom after he vetoed a measure aimed at protecting longshore jobs by limiting the use of public funds for port automation.

Newsom said in a statement that the bipartisan SB-34 legislation would limit ports’ flexibility and modernization, and undercut operational efficiency and competitiveness. He added that he favored modernization in tandem with other worker protections.

Shipping interests had opposed the measure along with environmental groups and community advocates who said it would have tied the hands of local air districts, limiting their ability to enforce regulations to curb pollution from ports.

The International Longshore and Warehouse Union representing 42,000 West Coast dockworkers has fiercely opposed port automation, but negotiated contracts permitting semi-automation while preserving jobs. 

On the East Coast, the International Longshoremen’s Association in a statement called the veto a “gut punch” with Newsom siding with  foreign-based ocean carriers in a “betrayal” of the working class.

“California had the opportunity to lead the nation in proving that progress and people can coexist,” the ILA said. “Instead, the Governor chose profit over principle.”

Find more articles by Stuart Chirls here.

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Stuart Chirls

Stuart Chirls is a journalist who has covered the full breadth of railroads, intermodal, container shipping, ports, supply chain and logistics for Railway Age, the Journal of Commerce and IANA. He has also staffed at S&P, McGraw-Hill, United Business Media, Advance Media, Tribune Co., The New York Times Co., and worked in supply chain with BASF, the world's largest chemical producer. Reach him at stuartchirls@firecrown.com.