Posted on: Tuesday, May 14, 2002

Shippers, West Coast crews start talks

Associated Press

SAN FRANCISCO — Negotiations on a new labor contract at the West Coast's major ports began yesterday with shippers pushing for greater automation and workers fighting to preserve some of the best-paying union jobs in the country.

The tensions between the two sides are expected to produce the most contentious talks in decades. The current three-year contract expires June 30.

The International Longshore and Warehouse Union, which represents 10,500 workers at the West Coast ports, isn't considering a strike yet, said spokesman Steve Stallone.

The Pacific Maritime Association, the group representing the shippers in the negotiations, has threatened a lockout if the union stages a work slowdown — a tactic used during contract negotiations in 1996 and 1999. Pacific Maritime officials didn't return calls yesterday.

The talks are being watched closely in Hawai'i. Workers' negotiations in the state traditionally follow talks on the West Coast as the local ILWU seeks parity in wages and benefits with their West Coast counterparts.

The economic stakes go beyond the shippers and dock workers involved in the contract negotiations. Nearly 8 percent of the nation's gross domestic product and 4 million jobs are tied to the operations of the ports in California, Oregon and Washington.

With cargo volume expected to double in the next 10 years, shippers want to use more technological tools to improve productivity and keep the West Coast ports competitive with rapidly growing international hubs such as Singapore.

Labor leaders believe management wants more automation so shippers can get rid of high-paid workers and shift some jobs to less expensive nonunion employees. Under the current contract, West Coast longshore workers earned an average of $106,833 last year and West Coast clerks received an average of $128,421, according to figures released by management.

In a statement yesterday, the maritime association said it will guarantee jobs for all current workers.

Some businesses have been stockpiling supplies and mapping out alternative shipping routes in case a labor impasse shuts down the West Coast ports.