SC Ports, Union Must Adjust after Supreme Court Decision

In a significant move, the U.S. Supreme Court recently refused to reconsider a lower court’s order directing the State Ports Authority to utilize an increased number of union labor at the Hugh K. Leatherman terminal in North Charleston. While the decision stirred disappointment among state officials who advocate for the state’s right to regulate its workforce at owned facilities, it presents an opportunity to finally put an end to the stalemate.’

Unlocking Port Capacity and Prioritizing Workforce

The decision intends to shake off the dormancy that seized the Leatherman Terminal since its commissioning in 2021. Barbara Melvin, the President, and CEO of S.C. Ports Authority, acknowledged the disappointment with the court’s decision but laid emphasis on making the most of the accelerated situation. “We all have a job to do now, and that’s get the Leatherman terminal reopened,” she addressed her board.

The recent dip in shipping volumes coupled with amplified efficiency at the Wando Welch Terminal placed less strain on the ports. Nevertheless, Melvin noted that shipping trends are cyclical, an uptick is expected, and the ready Leatherman Terminal will come into play.

Sealing commitment to this transition, Melvin stated that they will work together with the International Longshoremen’s Association (ILA) to bring forward a solution that unlocks terminal capacity. It also underscores the need to take care of the workforce and to deliver excellent service to customers.

Negotiating New Workforce Dynamics

South Carolina ports have adopted a hybrid labor arrangement for several decades, featuring nonunion, state employees operating cranes and other heavy machineries, and unionized Longshoremen executing the rest. The court’s decision will increase the number of unionized workers.

Despite concerns, increasing the unionized workforce is less likely to have any significant outside impact. Contrary to assertions from state officials, more unionized employment will not discourage new industrial recruits, as the state remains one of the nation’s most hostile for organized labor.

Discussions between the agency and ILA will, therefore, serve to protect current non-union state employees and offer union members growth opportunities through more hours and access to new training. “It’s time for all involved to take a deep breath, move on — and make the best of this new day”, added Barbara Melvin.