South Carolina Ports Authority Resolves Dispute, Approves Hugh Leatherman Terminal Reactivation

South Carolina Ports Authority Approves Resolution to Reactivate Hugh Leatherman Terminal

In a unanimous decision, the South Carolina Ports Authority has finalized an agreement that paves the way for the reopening of the beleaguered Hugh Leatherman Terminal in North Charleston. The agreement was reached following prolonged discussions with the International Longshoremen’s Association Local 1422.

A Yearlong Standstill Ends

The port, located in Charleston, South Carolina, had remained inactive for over a year due to disputes over staff assignments. Ongoing legal troubles also stood in the way of the Terminal’s operational resumption. However, those impediments seem to have been removed, following productive dialogue between the South Carolina Ports Authority and the International Longshoremen’s Association.

The Staffing Dispute

Issues arose in 2021 when the International Longshoremen’s Association (ILA) demanded that the operation of cranes at the terminal be restricted to unionized dockworkers. The Ports Authority, however, desired non-unionized laborers to have access to the equipment, resulting in a standoff.

The ILA took the matter to court, suing the United States Maritime Alliance for dispatching shipping lines to the terminal, which used outsourced labor to operate cranes. Asserting a breach of a 2012 master contract which stipulated that the cranes at newly constructed ports should be exclusively manned by unionized dockworkers, the ILA’s case found its way to the United States Supreme Court. The Supreme Court, however, declined to hear the case in February 2024, effectively upholding a Fourth Circuit Court of Appeals decision that agreed with the ILA.

The Road to Resolution

Subsequent to the Supreme Court’s decision, the South Carolina Ports Authority and the ILA initiated negotiations to amicably resolve the conflict. The newly approved resolution will allow the Ports Authority to maintain ownership of the terminal’s operations and equipment. As part of the agreement, state employees will be given the choice to either remain in their present roles or join the union as an ILA member. The management of training and certification will still fall under the responsibility of the South Carolina Ports Authority.

A Statement of Accord

In a joint missive, S.C. Ports and the ILA Local 1422 presented their unified stance: “S.C. Ports and ILA proudly announce that after productive and collaborative conversations, we have mutually developed and agreed to the framework for an operating agreement that will create long-term stability and competitiveness for the Port of Charleston…SC Ports and ILA are ready to welcome our USMX partners at the Leatherman Terminal for many years to come…”

This landmark agreement between S.C. Ports and the ILA creates stability and reassurance for the future of the Port of Charleston. The resolution assures that, all obstacles have been removed, paving the way for a promising future for the Hugh Leatherman Terminal.