USMX Animated PDFs

2 0 1 8 A N N U A L R E P O R T 4 4 2 0 1 8 A N N U A L R E P O R T MEMBER RELATIONS & GOVERNMENT AFFAIRS LABOR STABILITY 2018 was a climac c year for USMX. In September, two noteworthy events occurred: the old USMX-ILA Master Contract nego ated in 2012/2013 came to its conclusion, and a new Master Contract was agreed upon, again for a six-year term. The new agreement assures labor stability through 2024, which is welcome news to all in the mari me sector. A MANAGEMENT TEAM EFFORT It took significant collabora on between all management par es to achieve this milestone. USMX member Carriers, Port Associa ons and Direct Employers all played pivotal roles in the design of the agreement. The teamwork necessary to reach this goal was born in the fostering of member rela ons over the course of the last six years. The open and fre- quent communica on between USMX and its cons tuent members over that me span enabled the group to work produc vely during the ne- go a ng period. The core tenets of the Member Rela ons Program, de- veloped during the early stages of the last contract period and carried through during the subsequent contract years, provided the baseline un- derstanding of the rela onship between the Master Contract and each individual local port agreement necessary to achieve an acceptable out- come on both a na onal and local level. Indeed, bargaining prepara on for the latest agreement began in earnest in 2013, with a series of mee ngs between USMX and its Port Associa on and Direct Employer members. Held in Port Associa on host ci es and con nued over the ensuing years, with agendas constructed in concert with those a ending, all members of the enterprise were able to develop an understanding of the challenges faced by each member. This provided immeasurable help in construc ng the recently-concluded Master Contract agreement. With the Master Contract signed in September of 2018, USMX con nued to work collabora vely with its Port Associa on members to help reach agreements at the local level. Providing support when needed and tailor- ing that support to the individual circumstances at hand, USMX furthered each Port Associa on member's goal of achieving a local contract. 2019 MARKS A NEW PHASE Implementa on of the new collec vely bargained agreement is the next phase being addressed. Agreed upon terms and condi ons now need fol- low through, necessita ng further discussion among the membership as to a suitable approach. New programs, such as the Money Purchase Plan, are in development. Some exis ng programs are being modified. Again, the previous six years of frank and open communica on among the mem bership will serve USMX in good stead as it cra s a way forward that en- sures solu ons that benefit all. 2019 will set the journey to the next collec vely bargained agreement in mo on. A frank analysis of the last nego a on is in process; meaningful thought is being put into the next set of goals being developed for the 2024 talks. Con nuing to improve the rela onship among its members remains a key objec ve of USMX. GOVERNMENT INITIATIVES: TRADE, REGULATORY AND FUNDING 2018 was a very ac ve year for the mari me sector in the arena of gov- ernment affairs. The second year of the Trump Administra on brought trade, regulatory and funding ini a ves relevant to our industry to the forefront. Tariffs The Administra on pursued its policy of revamping the United States trade prac ces by threatening the imposi on of tariffs on a mul tude of industries, including steel, aluminum, agriculture and automobiles. A rene- go a on of the NAFTA agreement was also on the table. The uncertainty of the imposi on of these policies was, in part, responsible for dynamic cargo surges throughout the year. Government Funding Funding for the government in 2018 was achieved mostly through a se- ries of con nuing resolu ons. Of note to our industry, civil works and channel maintenance sums were appropriated; the Harbor Maintenance Tax Fund was projected to spend 94% of its collec ons (a new high for recent years); Customs and Border Protec on's budget included increased manning (though over 1,000 vacancies s ll persisted); and the Tiger Grant Program was renamed with a budgeted increase in funding. Infrastructure spending remains a high-profile topic for the coming year. Federal Agencies Federal agencies con nued to fill out their complement of appointees including posi ons at the Na onal Labor Rela ons Board, the Mari me Administra on and the Federal Mari me Commission (FMC). The FMC had an ac ve twelve months. Through resigna on and expi- ra on of term, two Commissioners departed during the year. Those po- si ons were filled and Ac ng Chairman Michael A. Khouri was named Chairman in early 2019.

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