1588 Wage Scale Delegates Vote to Oppose USMX Proposal

ILA officials presented the latest USMX offer to Wage Scale Delegates on Tuesday in Orlando. The proposed extension appears to include some improvements over the one rejected by Delegates in early September. It maintains the October 1, 2009 wage increase which would have been eliminated by the previous proposal. However, the value of the wage increase -- estimated to be $42 million -- will be paid for out of the Container Royalty fund, meaning that Longshore workers are unlikely to see an increase in Container Checks for the next few years even though the cap has been lifted.

The proposal also gives back $15 million in MILA contributions that employers have to make this year under the current agreement and diverts and decreases other funding away from MILA, jeopardizing the soundness of our health insurance. The proposal makes modest progress towards closing the wage tiers, but Longshore workers will have to wait until the final few months of the three year extension (July, 2012) before the partial bridge is fully implemented. In the meantime, we will go two and a half years with no other raise. (For more analysis of the proposal go to the Longshore Workers Coalition web site.)

A majority of Wage Scale Delegates voted to recommend the proposal and put it to a membership referendum on November 17, 2009.

1588 was among several Locals to oppose the proposal. We believe that it is wrong and unfair to fund an agreed-upon wage increase out of the container fund and by depleting our health plan. We believe the proposal makes inadequate progress eliminating the wage tiers and provides only weak protections against technology that could wipe out substantial numbers of Longshore jobs.

With a year remaining on the contract there is no rush to force a problematic agreement on the membership. We can do better. We are recommending a No Vote on November 17. We will be coordinating with officers of other Locals and providing more information on the proposal shortly.

USMX Offer.
Longshore Workers Coalition web site.