The Pacific Maritime Association and International Longshore and Warehouse Union announced Wednesday night they had reached a tentative agreement on a six-year contract covering workers at 29 West Coast ports.
The tentative deal is subject to ratification by the two parties. The PMA and ILWU said they would not release any details of the agreement at this time.
Acting Labor Secretary Julie Su “played a key role” in reaching an agreement, according to the joint statement. The Labor Department chief joined negotiators in San Francisco earlier this week after a series of disruptions affected port operations in early June.
President Joe Biden lauded the tentative agreement in a statement Wednesday evening, adding Su was instrumental in helping reach a deal that will “assure that our supply chains remain strong for America’s businesses, farmers, and working families.”
The tentative deal comes after more than 13 months of negotiations, one of the longest contract talks in recent memory. It also comes at a critical time for the U.S. supply chain, as businesses prepare for a surge of imports typical of a summer peak shipping season.
Agricultural exporters were closely watching negotiations as the West Coast serves as an important gateway to markets in Asia. The U.S. Meat Export Federation said last week that sporadic work stoppages were a major concern for exporters and their international customers, as reliability and timeliness are paramount for the movement of perishable goods.
USMEF President and CEO Dan Halstrom applauded the tentative agreement in a statement Wednesday evening, saying it “will restore stability and confidence in the performance of the West Coast ports, and this is absolutely essential for our industry.”
Sarah Zimmerman contributed to this story.