US west coast employers go public with offer, but dockers say little

GOING public after months of secret talks failed, US west coast waterfront employers of the Pacific Maritime Association (PMA) now offer the dockers union a three per cent wage increase in an five-year contract.

In reply, the International Longshore and Warehouse Union (ILWU) made a statement ignoring the substance of the offer and instead focussed on their desire to continue the deadlocked talks. reported American Shipper.

"We’re this close," said ILWU president Robert McEllrath. "We’ve dropped almost all of our remaining issues to help get this settled - and the few issues that remain can be easily resolved."

But PMA president Jim McKenna said the situation was not good and he had made his move to avoid a "coastwide meltdown".

"At such point in time that we reach a gridlock, I think our hands will be tied. The last thing we want after nine months is to close this place down," he said.

The PMA and ILWU have been in talks since May 12 to replace a contract covering 20,000 dockers in 29 US west coast ports that expired on July 1. 

With full time dockers making an average of US$147,000 a year, the PMA now offers to raise wages from US$35.68 per hour to $40.68, with "multipliers" for extra skills, night work and overtime. 

Part of the PMA deal is a fully paid health plan costing employers $35,000 a year, said the report. Employers also agreed to pay Obamacare's "Cadillac tax" on high-benefit schemes. This as well as a pension of 11 per cent of wages up to $88,800 a year.