NEW HANOVER COUNTY — A line of picketers chanted into bullhorns and held signs near the Wilmington port along Shipyard Boulevard Tuesday.
READ MORE: NC Port Authority revamping rail yard and terminal entrance, a $50M project to boost efficiency
“Machines don’t feed families: Support ILA” and “No work without a fair contract” were the messages displayed as passersby drove past.
The International Longshoremen’s Association, representing maritime workers at ports along the East and Gulf coasts, went on strike at midnight on Oct. 1 due to stalled contract negotiations with the United States Maritime Alliance, representing carriers, ports associations and direct employers. ILA members cite unfair wages, poor working conditions and want to see protections against automation potentially cutting jobs.
The strike activated a work stoppage order at ports from Maine to Texas including Wilmington — meaning no cargo will be shipped or received.
In his 35 years working at the Port of Wilmington, Greg Washington, president of ILA 1426 and board member for the North Carolina Ports Authority, has never endured a strike. He said he supports the move because it’s time to catch up for lost wages.
“During Covid, we tried to impress upon them that we were essential workers, like all the other essential workers,” he said at the picket lines Tuesday. “Others got either a bonus or something that reflected their service for doing it. I’m still waiting on mine. Am I not essential?”
Around 75 people joined Washington Tuesday afternoon, including members from ILA 1426, 1868, 1766 and 1968. No one else would go on the record with Port City Daily, deferring to their union leaders instead.
Washington said their contract is renegotiated every six years and referred to ILA public relations director Jim McNamara to lay out the details of negotiations. McNamara did not return Port City Daily’s questions from last week nor a second request Tuesday.
However, according to national reports, USMX was willing to raise wages by half, but ILA is holding tight for more, at least $5 more an hour. ILA President Harold Daggett revealed on the Longshoreman’s social media it was “holding firm” on foreign companies that benefited from a windfall of billions of dollars through American ports without properly paying longshore workers.
“We are prepared to fight as long as necessary, to stay out on strike for whatever period of time it takes, to get the wages and protections against automation our ILA members deserve,” Dagget wrote. “Plus, we want absolute airtight language that there will be no automation or semi-automation, and we are demanding all Container Royalty monies go to the ILA.”
Washington said the pushback is long overdue, especially coming out of long hours and lax wages dating back a while
“For 15 years we didn’t have an increase in wages,” Washington said, speaking of decades back. He said the average worker makes roughly $34 an hour.
Washington joined the Longshoreman in 1989 after forgoing freelance photography for something more stable to raise his two daughters and a son; he loaded his first ship with ammunition headed for Desert Storm. Wages increased minimally in the last few contract periods — $2 here or $2 there, he indicated.
“But we can’t keep going like this,” Washington said. “They were increasing wages at such a low level, it wasn’t catching up with inflation.”
Washington was clear he was primarily speaking about the stevedoring companies — businesses that deal in offloading and onloading cargo onto ships — who secure contracts with USMX. He said the companies have put union workers in competition with non-union workers and the companies are claiming that has thwarted pay increases.
“They can afford to do a little bit more, especially coming out of Covid-19,” he said, noting he watched many coworkers fall ill with the virus, some of whom died. “We had memorials for all the people that lost their lives during that time. And I’m just telling you, it became tiring hearing the names.”
The local ILA 1426 president said the relationship with the Port of Wilmington — for which he also serves on the North Carolina State Ports Authority Board, as appointed by the governor — is one he values and the strike is not a direct reflection on that partnership. The Port of Wilmington released a similar statement last week:
“The Master Contract is an agreement between the ILA and the carriers and direct employers that make up the USMX. North Carolina Ports is not a party to the agreement and therefore is not a participant in the negotiations. North Carolina Ports is hopeful that both parties will return to the negotiating table and reach an agreement that allows all the ports of the East and Gulf Coast to resume operations.”
The North Carolina Ports released a contingency plan as the strike loomed last week. Now that it’s reality, the contingency has been activated.
Through Oct. 4 the Port of Wilmington’s north gate hours will operate normally, as will the Port of Morehead City gate, with yard operations at both ports also on a normal schedule this week. As well, Charlotte Inland Port and tenant operations continue.
Until an agreement is reached, other contingencies include:
- The Port of Wilmington’s South (Container) Gate: Closed for the pickup or delivery of cargo
- Vessel Operations: No container vessel operations or general cargo operations will be conducted until further notice.
- Rail Operations: No impacted carrier’s rail / intermodal cargo will be worked on or off the rail at the Port of Wilmington.
- Cargo Loss Provision: NC Ports will not be liable for any damage to or loss of cargo that remains on terminal at the Port of Wilmington during the work stoppage.
- Free Time: The billing clock will be paused during the work stoppage.
- Reefer Monitoring: NC Ports is not aware of any provisions between the ILA and the USMX permitting refrigerated containers to be monitored or maintained during the work stoppage.
What effect will this have on consumers?
On Tuesday, some local stores were slammed in Wilmington with customers vying for necessities, much like during the Covid-19 pandemic. Costco, Sam’s Club, Target, Walmart and some grocery stores saw an uptick in demand for toilet paper, paper towels and water.
By 1 p.m. a Costco manager, who asked to remain unnamed, said the big-box store was sold out of the paper items, water and wipes.
“However, we are hearing a lot of it has to do with donations,” he said.
Various organizations, businesses and nonprofits have put out calls for help in procuring supplies to be delivered to the western part of the state as it faces recovery efforts due to massive flooding and devastation from Tropical Storm Helene. The Costco employee explained how most people he spoke with Tuesday were concentrated on helping others, though a few were inquiring about the strike’s potential aftereffects.
It likely won’t be felt for weeks in many supply areas, though perishable goods may be impacted more quickly.
“We have more trucks coming in the next couple of days,” the Costco employee told Port City Daily.
When asked if the local facility received any messaging regarding the ports strike impacting the supply chain and stores like Costco, he iterated the company’s CEO remarks on a Sept. 26 call to investors. Costco President Ron Vachris informed stakeholders it had several strategies in the works, as to not affect everyday customer needs or incoming holiday sales.
“We’ve got contingency plans. We’ve cleared the ports. We’ve pre-shipped,” Vachris said during the fourth-quarter earnings call.
Roughly 25% of Costco’s goods do not consist of food, a portion of which is imported but a lot is resourced domestically.
At the Port of Wilmington, primary products include grains, wood products, chemicals, fertilizers, furniture, apparel, and automotive parts. However, it also has grown its storage of perishable items due to the expansion of refrigerated containers and cold storage capabilities in recent years.
In June, the Wilmington Port announced it improved its import of produce, including bananas, pineapples, and blueberries, with more trials of apples, melons, tropical fruits and vegetables also planned. According to the contingency plan, the ports aren’t responsible for any containers filled with perishable items that went undeliverable due to the strike.
Port City Daily asked the ports roughly how much this equaled but did not receive an answer by press.
According to a 2018 report on the economic impact of the North Carolina Ports, it had a $15.4 billion influence on the state, with the majority, $12.9 billion, moving through Wilmington. PCD asked the ports for updated numbers; this will be updated upon response. The ports also support roughly 87,000 jobs statewide, according to the report.
Non-union workers at the ports will be reassigned to other jobs due to the strike.
As for Washington, he said he would like for it to be over “tomorrow.”
“None of us want to be standing out here today,” he said, not immune to the fact it means no paycheck coming in. “But we have to ‘til we get it done. I have to shop at that same store as everyone else. I have to pay the same prices that you do to feed my family. But I gotta have something that’s gonna help me be able to deal with those prices, just like everybody else.”
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