Matson Shipping, unions reach deal, averting strike

Published On: Jun 30 2013 01:39:00 PM HST

With a little more than 24 hours to spare, labor unions and Matson Shipping Company have reached a deal. The strike that was scheduled for Monday morning has been averted.

HONOLULU -

With a little more than 24 hours to spare, labor unions and Matson Shipping Company reached a deal Sunday, averting a strike.

Negotiations centered around what members of the Sailors Union of the Pacific and Marine Firemen's Union were calling "wage kickbacks," where workers would have had to contribute wages toward two new ships.

After two months of negotiations, a new four-year contract was hammered out, subject to ratification by members of the two unions and Seafarers International.

In a statement, Matson said it was pleased to assure its customers that there will be no disruption to service.

The three unions also negotiated pay raises.

In its annual report, Matson said there had only been one instance in the past 40 years where a labor dispute caused a disruption in service.

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