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West Coast Labor Dispute Looms: Contract Set to Expire July 1st, 2014

The labor contract between the Pacific Maritime Association (PMA) and the International Longshore & Warehouse Union (ILWU) is set to expire July 1st, 2014. If a new contract is not established prior to the deadline, many believe West Coast terminals will see a major disruption in service. In 2002, a similar scenario led to a 10-day lockout which created congestion so severe that even East Coast terminals could not keep up with the diverted cargo.

The PMA and ILWU have contract discussions underway which address healthcare and jurisdiction issues, among others.

Many shippers, leery of a timely resolution, are taking steps to avoid possible cargo delays.

TransGroup Worldwide Logistics will continue to closely monitor the situation and keep you apprised of further developments. Meanwhile, several alternative solutions and routings are available for those hoping to avoid slowdowns, such as; shipping early, east coast routings, or Canada. We encourage you to contact your local TransGroup station to find a solution that works for you.

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