SoCal port clerks’ contract expires, no new agreement or extension

By Daisy Nguyen, AP
Thursday, July 1, 2010

SoCal port clerks’ contract expires

LOS ANGELES — A contract between 900 clerical workers and shipping companies at the nation’s busiest port complex has expired without a new agreement.

The current contract expired at 12:01 a.m. Thursday and there is no extension, said Stephen Berry, lead negotiator for the Harbor Employers Association which represents 14 shippers and terminal operators at the ports of Los Angeles and Long Beach.

Berry said the shippers rejected the latest proposal received via email from the union late Wednesday, which called for a wage increase of 21 percent over three years.

Berry said the shippers countered with a proposal that includes a 10 percent increase in monthly pension payments and protection from layoffs.

He said he’s optimistic the two sides would resume communications later Thursday.

John Fageaux Jr., president of Local 63 of the Office Clerical Unit of the International Longshore Warehouse Union, did not immediately return a call seeking comment early Thursday.

Fageaux said Wednesday that there was “a high likelihood” of a job action if no agreement was reached by the time the contract expired. “The last thing we want to do is strike but if we have to we’re prepared to take economic action,” Fageaux said.

Fageaux said fellow ILWU members, including longshoremen, have historically honored picket lines if the approximately 900 clerks strike.

That could shut down loading and unloading operations at the twin ports, which account for 40 percent of all the cargo container traffic coming into the United States and are starting to recover from the recession.

The clerks voted Tuesday night to authorize a strike when talks stalled. They process bookings for the export of cargo and other transport documents for shippers and terminal operators.

The shippers want to use new computer programs allowing customers access to booking information. The workers are worried that may lead to their jobs being outsourced.

“We’re not opposed to technology that will create more efficient processes, but we do not agree if it allows others to do our work,” Fageaux said.

The shippers said they have proposed keeping every existing job and offered a 10 percent increase in monthly pension payments in the next contract.

Three years ago, workers threatened a walkout, but talks continued after the deadline. Both sides ultimately reached a deal in which the workers got a raise and an agreement that allowed monitoring of whether any of their job duties were being outsourced.

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