The International Longshoremen’s Association is suspending its three-day strike until Jan. 15 to provide time to negotiate a new contract. Photo from Port Houston

Some 45,000 dockworkers at East and Gulf coast ports are returning to work after their union reached a deal to suspend a strike that could have caused shortages and higher prices if it had dragged on.

The International Longshoremen’s Association is suspending its three-day strike until Jan. 15 to provide time to negotiate a new contract. The union and the U.S. Maritime Alliance, which represents ports and shipping companies, said in a joint statement that they have reached a tentative agreement on wages.

A person briefed on the agreement said the ports sweetened their wage offer from about 50% over six years to 62%. The person didn’t want to be identified because the agreement is tentative. Any wage increase would have to be approved by union members as part of the ratification of a final contract.

Talks now turn to the automation of ports, which the unions says will lead to fewer jobs, and other sticking points.

Industry analysts have said that for every day of a port strike it takes four to six days to recover. But they said a short strike of a few days probably wouldn’t gum up the supply chain too badly.

The settlement pushes the strike and any potential shortages past the November presidential election, eliminating a potential liability for Vice President Kamala Harris, the Democratic nominee. It’s also a big plus for the Biden-Harris administration, which has billed itself as the most union-friendly in American history. Shortages could have driven up prices and reignited inflation.

The union went on strike early Tuesday after its contract expired in a dispute over pay and the automation of tasks at 36 ports stretching from Maine to Texas. The strike came at the peak of the holiday season at the ports, which handle about half the cargo from ships coming into and out of the United States.

Most retailers had stocked up or shipped items early in anticipation of the strike.

“With the grace of God, and the goodwill of neighbors, it’s gonna hold,” President Joe Biden told reporters Thursday night after the agreement.

In a statement later, Biden applauded both sides “for acting patriotically to reopen our ports and ensure the availability of critical supplies for Hurricane Helene recovery and rebuilding.”

Biden said that collective bargaining is “critical to building a stronger economy from the middle out and the bottom up.”

The union's membership won't need to vote on the temporary suspension of the strike. Until Jan. 15, the workers will be covered under the old contract, which expired on Sept. 30.

The union had been demanding a 77% raise over six years, plus a complete ban on the use of automation at the ports, which members see as a threat to their jobs. Both sides also have been apart on the issues of pension contributions and the distribution of royalties paid on containers that are moved by workers.

Thomas Kohler, who teaches labor and employment law at Boston College, said the agreement to halt the strike means that the two sides are close to a final deal.

“I’m sure that if they weren’t going anywhere they wouldn’t have suspended (the strike),” he said. “They’ve got wages. They’ll work out the language on automation, and I’m sure that what this really means is it gives the parties time to sit down and get exactly the language they can both live with.”

Kohler said the surprise end to the strike may catch railroads with cars, engines and crews out of position. But railroads are likely to work quickly to fix that.

Just before the strike had begun, the Maritime Alliance said both sides had moved off their original wage offers, a tentative sign of progress.

Thursday's deal came after Biden administration officials met with foreign-owned shipping companies before dawn on Zoom, according to a person briefed on the day's events who asked not to be identified because the talks were private. The White House wanted to increase pressure to settle, emphasizing the responsibility to reopen the ports to help with recovery from Hurricane Helene, the person said.

Acting Labor Secretary Julie Su told them she could get the union to the bargaining table to extend the contract if the carriers made a higher wage offer. Chief of Staff Jeff Zients told the carriers they had to make an offer by the end of the day so a manmade strike wouldn't worsen a natural disaster, the person said.

By midday the Maritime Alliance members agreed to a large increase, bringing about the agreement, according to the person.

____

AP Writers Darlene Superville and Josh Boak in Washington and Annie Mulligan in Houston contributed to this report.

Workers began walking picket lines early Tuesday in a strike over wages and automation, even though some progress had been reported in latest contract talks. Photo via Getty Images

Dockworkers in Texas, East Coast start strike with major economic, political consequences on the line

eyes on the picket line

From Maine to Texas, dockworkers at 36 ports across the eastern U.S. are now on strike for the first time in decades. And the work stoppage could snarl supply chains — leading to shortages and higher prices if it stretches on for more than a few weeks.

Workers began walking picket lines early Tuesday in a strike over wages and automation, even though some progress had been reported in latest contract talks. The contract between the ports and about 45,000 members of the International Longshoremen’s Association expired at midnight.

The strike also comes just weeks before next month's tight presidential election, and could become a factor if there are shortages impacting voters.

In early picketing, workers outside the Port of Philadelphia walked in a circle and chanted “No work without a fair contract.” The union, which is striking for the first time since 1977, had message boards on the side of a truck reading: “Automation Hurts Families: ILA Stands For Job Protection.”

Local ILA president Boise Butler said workers want a fair contract that doesn’t allow automation of their jobs.

Shipping companies made billions during the pandemic by charging high prices, he said. “Now we want them to pay back. They’re going to pay back,” Butler said.

He said the union will strike for as long as it needs to get a fair deal, and it has leverage over the companies.

“This is not something that you start and you stop,” he said. “We're not weak,” he added, pointing to the union's importance to the nation's economy.

At Port Houston, at least 50 workers started picketing around midnight local time carrying signs saying “No Work Without a Fair Contract."

The U.S. Maritime Alliance, which represents the ports, said Monday evening that both sides had moved off of their previous wage offers. But no deal was reached.

The union’s opening offer in the talks was for a 77% pay raise over the six-year life of the contract, with President Harold Daggett saying it’s necessary to make up for inflation and years of small raises. ILA members make a base salary of about $81,000 per year, but some can pull in over $200,000 annually with large amounts of overtime.

Monday evening, the alliance said it had increased its offer to 50% raises over six years, and it pledged to keep limits on automation in place from the old contract. The alliance also said its offer tripled employer contributions to retirement plans and strengthened health care options.

The union wants a complete ban on automation. It wasn’t clear just how far apart both sides are.

In a statement early Tuesday, the union said it rejected the alliance's latest proposal because it “fell far short of what ILA rank-and-file members are demanding in wages and protections against automation.” The two sides had not held formal negotiations since June.

Supply chain experts say consumers won’t see an immediate impact from the strike because most retailers stocked up on goods, moving ahead shipments of holiday gift items.

But if it goes more than a few weeks, a work stoppage could lead to higher prices and delays in goods reaching households and businesses.

If drawn out, the strike will force businesses to pay shippers for delays and cause some goods to arrive late for peak holiday shopping season — potentially impacting delivery of anything from toys and artificial Christmas trees to cars, coffee and fruit.

The strike will likely have an almost immediate impact on supplies of perishable imports like bananas, for example. The ports affected by the strike handle 3.8 million metric tons of bananas each year, or 75% of the nation’s supply, according to the American Farm Bureau Federation.

It also could snarl exports from East Coast ports and create traffic jams at ports on the West Coast, where workers are represented by a different union. Railroads say they can ramp up to carry more freight from the West Coast, but analysts say they can’t move enough to make up for the closed Eastern ports.

J.P. Morgan estimated that a strike that shuts down East and Gulf coast ports could cost the economy $3.8 billion to $4.5 billion per day, with some of that recovered over time after normal operations resume.

Retailers, auto parts suppliers and produce importers had hoped for a settlement or that President Joe Biden would intervene and end the strike using the Taft-Hartley Act, which allows him to seek an 80-day cooling off period.

But during a Sunday exchange with reporters, Biden, who has worked to court union votes for Democrats, said “no” when asked if he planned to intervene in the potential work stoppage.

In an update Tuesday morning, the White House maintained that administration officials were working “around the clock” to help negotiations move forward — which included being in direct contact with both USMX and ILA. Biden and Vice President Kamala Harris were also “closely monitoring” potential supply chain impacts, the White House added, enlisting a task force to meet daily and prepare for any disruptions.

___

Krisher in reported from Detroit. Associated Press journalists Ben Finley in Norfolk, Virginia, Mae Anderson and Wyatte Grantham-Philips in New York, Dee-Ann Durbin in Detroit, Josh Boak in Washington, and Annie Mulligan in Houston contributed to this report.

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Oxy officially announces CEO transition, names successor

new leader

Houston-based Occidental (Oxy) has officially announced its longtime CEO's retirement and her successor.

Oxy shared last week that Vicki Hollub will retire June 1. Reuters first reported Hollub's plan to retire in March, but a firm date had not been set. Hollub will remain on Oxy's board of directors.

Richard Jackson, who currently serves as Oxy's COO, will replace Hollub in the CEO role.

“It has been a privilege to lead Occidental and work alongside such a talented team for more than 40 years," Hollub shared in a news release. "Following the recently completed decade-long transformation of the company, we now have the best portfolio and the best technical expertise in Occidental’s history. With this strong foundation in place, a clear path forward and a leader like Richard, who has the experience and vision to elevate Occidental, now is the right time for this transition. “I look forward to supporting Richard and the Board through my continued role as a director.”

Hollub has held the top leadership position at Oxy since 2016 and has been with the energy giant for more than 40 years. Before being named CEO, she served as COO and senior executive vice president at the company. She led strategic acquisitions of Anadarko Petroleum in 2019 and CrownRock in 2024, and was the first woman selected to lead a major U.S. oil and gas company.

Hollub also played a key role in leading Oxy's future as a "carbon management company."

Jackson has been with Oxy since 2003. He has held numerous leadership positions, including president of U.S. onshore oil and gas, president of low carbon integrated technologies, general manager of the Permian Delaware Basin and enhanced oil recovery oil and gas, vice president of investor relations, and vice president of drilling Americas.

He was instrumental in launching Oxy Low Carbon Ventures, which focuses DAC, carbon sequestration and low-carbon fuels through businesses like 1PointFive, TerraLithium and others, according to the company. He also serves on the Oil and Gas Climate Initiative’s Climate Investment Board and the American Petroleum Institute’s Upstream Committee. He holds a bachelor's degree in petroleum engineering from Texas A&M University.

Jackson was named COO of Oxy in October 2025. In his new role as CEO, he will also join the board of directors, effective June 1.

“I am grateful to be appointed President and CEO of Occidental and excited about the opportunity to execute from the strong position and capabilities that we built under Vicki’s leadership,” Jackson added in the release. “It means a lot to me personally to be a part of our Occidental team. I am committed to delivering value from our significant and high-quality resource base. We have a tremendous opportunity to focus on organic improvement and execution to deliver meaningful value for our employees, shareholders and partners.”

Texas data center proposed by U.S. Army could use more power than El Paso

Big Data

The U.S. Army is proposing developing a gargantuan, 3-gigawatt data center complex on Fort Bliss property that within a few years would consume more electricity than all of El Paso Electric’s 460,000 customers combined – even as questions about its development, water usage and air pollution remain unanswered.

If built, it would be the third major data center project in the El Paso region, along with Meta Platform’s $10 billion facility in Northeast and the $165 billion Project Jupiter campus that Oracle and OpenAI are building in Santa Teresa, New Mexico. The combined scale and size of the three facilities could quickly transform the Borderland into one of the nation’s core hubs of power generation and AI infrastructure.

The publicly-traded investment firm Carlyle Group would pay to build and operate the Fort Bliss data center – one of several planned in a national rollout under President Donald Trump’s administration to rapidly increase artificial intelligence technology for the Department of Defense.

At Fort Bliss, the Army is “targeting an initial operating capacity of about 100 megawatts on the compute side” by next year, David Fitzgerald, deputy undersecretary of the Army, said during a meeting with reporters April 22. An official estimated cost for the project has yet to be released.

By 2029, the complex on military land in far East El Paso would require 3 gigawatts of electricity, Fitzgerald said. By comparison, El Paso Electric currently maintains about 2.9 gigawatts of generation capacity across its entire system that spans from Hatch, New Mexico, to Van Horn, Texas. The highest customer demand the power company has ever seen was just over 2.3 gigawatts during the summer of 2023.

And whether most El Pasoans are on board with the rapid buildout of another data center here is not a question that Army leadership is asking at this point.

“What we’re trying to do is find where are the common interests, common ground that we can solve for?” Fitzgerald said, referring to coordinating with El Paso city leaders on the data center project.

“The state of modern warfare and future warfare is largely going to depend on the ability to capture, process and utilize massive amounts of data,” he said. “So, the reality is, this is a strategic priority, not just for the Army, but for the entire Department of War. So, we need these capabilities, and we need to put them somewhere.”

Combined-cycle natural gas turbines are the “most likely” source of electricity generation for the facility, said Jeff Waksman, an assistant secretary of the Army and former member of Trump’s first administration.

Waksman said the facility would undergo environmental review before construction starts.

Still, there are far more outstanding questions than answers about the proposed Fort Bliss data center.

It’s unclear if the facility would connect to El Paso Water’s water system. The city-owned water utility pointed out that Fort Bliss Water provides water service for the installation. However, El Paso Water can provide “backup” service to the base, according to the project solicitation documents.

“EPWater was just recently brought into the discussion, and we only have preliminary information,” El Paso Water said in a statement. “The construction and water use would be entirely on federal property.”

El Paso Electric said it’s also uncertain whether the data center will connect to the utility’s power grid and will figure that out in the future. To date, the Army hasn’t made a formal request for service from El Paso Electric.

Officials from the U.S. Army “confirmed that questions regarding the power source and whether it will be connected to the regional grid remain under review and have plans to establish a data center with a projected demand of 3 gigawatts,” El Paso Electric said in a statement. “Ultimately, decisions about these matters will be made by Fort Bliss leadership, and we defer to them for further comment.”

A representative with Carlyle Group at a recent community meeting didn’t answer questions or provide details about the proposed data center facility and the related power generation source.

Carlyle Group did not respond to a request for comment.

Army officials said they don’t yet have a definitive agreement in place with Carlyle, which was conditionally selected to enter into exclusive negotiations, so few details are finalized.

However, the Army has set a short timeline to start operating by late 2027. That means construction will have to start soon, Fitzgerald said.

“The ideal endstate is that we would be at least (operational) by the end of ’27, which is moving pretty quick,” Fitzgerald said. “That would mean construction would need to begin in the not-so-distant future.”

Water, electricity concerns

Meeting three gigawatts of electricity demand with natural gas-fired turbines – cited by Army officials as the most likely power source – would likely produce huge amounts of greenhouse gases in a central area of El Paso, such as carbon dioxide, as well as other harmful pollutants including particulate matter.

And even if the data center doesn’t take service from El Paso Water and instead receives water from wells managed by Fort Bliss, it would rely on groundwater pumped out of the Hueco Bolson aquifer, the city’s main source of water.

The solicitation issued by the Army cites water risk for El Paso as “extremely high” and notes that most of Fort Bliss’ water supply comes from wells within the installation.

Fitzgerald said the Army is aware of the public’s concern that the data center could unsustainably guzzle El Paso’s groundwater to cool the data center’s computer servers. He said the facility will be “water neutral.”

It’s also not clear how the project could replace the same amount of water that it consumes.

It’s possible the Kay Bailey Hutchison Desalination Plant – co-owned by El Paso Water and the U.S. Army – could play a role in making the data center water neutral. But El Paso Water said it has no details about how the data center facility could achieve water neutrality.

El Paso Water is “more than willing to continue to share ideas for best practices in sustainability to help protect our regional water resources,” the utility said in its statement.

As far as electricity generation, Army officials said they don’t know if El Paso Electric would build a new power plant to serve the data center. It’s also possible that Carlyle Group or another private company could build its own power generation source for the data center that’s isolated from the power grid El Pasoans use every day.

“We have to decide whether El Paso Electric is going to be the ones building whatever is coming, or if this is going to be some independent power producer,” Waksman said.

El Paso Electric is planning to develop a 366 megawatt power plant made up of over 800 small gas generators to power Meta’s data center. The utility will build more generation in the coming years to meet 1 gigawatt of total demand from Meta’s facility. Meanwhile, as the technology giant Oracle develops Project Jupiter, the company said Monday it is seeking to power the campus using 2.45 gigawatts of fuel cell power systems provided by the company Bloom Energy.

For perspective, 3.45 gigawatts – the combined projected demand of those two major data centers – is enough electricity to power as many as a million homes, depending on the time of day and weather.

The Fort Bliss project would have to meet environmental regulatory requirements, and the developer needs to include a plan for providing utilities and infrastructure needs such as access to the facility, according to a request for proposals issued by the Army in December 2025. Army officials emphasized the project would not impact El Pasoans’ water or electric bills.

Who is Carlyle Group?

Carlyle Group is a global investment management firm that oversees $477 billion of assets from entities such as pension funds.

The company invests that money by buying businesses ranging from wine producers to Asian telecommunications companies, or by developing infrastructure projects such as renewable energy generation and data centers. The company in 2025 posted distributable earnings of nearly $1.7 billion on $4.8 billion in revenue.

The Army wants to build the facility at Fort Bliss in partnership with Carlyle because the installation has a large amount of available, unused land and because of the water and electricity infrastructure already in place in El Paso, Fitzgerald said.

The Carlyle data center planned for El Paso is part of a wider U.S. military effort to quickly build infrastructure that supports the use of artificial intelligence — both on the battlefield and in running its day-to-day operations, according to government documents.

Army officials nodded to the use of AI in drone warfare and targeting systems. And a hyperscale data center facility can also securely house information such as the military’s cloud database that details pay and entitlements for every U.S. soldier, said Maj. Gen. Curtis Taylor, commanding general of the 1st Armored Division and Fort Bliss.

Data centers are “essential parts of power projection,” Taylor said. “But we have to protect those servers. And that’s why there’s great utility in building that infrastructure on military installations.”

The Fort Bliss facility would be located on a plot of land near the intersection of Loop 375 and Montana Avenue. The site is just east of the Camp East Montana immigrant detention facility, and near El Paso Electric’s gas-fired Montana power station.

The plan is for Carlyle to utilize the majority of the data center’s capacity for its business needs, and the military would have access to a more secure portion of the data center for its own uses.

The Army is developing another similar data center project in Dugway, Utah. Other Army bases identified as potential sites include Fort Hood in Texas and Fort Bragg in North Carolina.

The U.S. Air Force in October issued a solicitation saying it is “accepting proposals for the development of Artificial Intelligence data centers,” on unused land at different bases, including in California, Georgia, Arizona and Tennessee. The push was enabled by executive orders signed by Trump that seek to speed up permitting and development timelines for AI data centers.

Would the Fort Bliss data center pay taxes?

A privately-financed data center on Fort Bliss would likely have to pay some taxes – unlike on-base government facilities – but there’s a lot of uncertainty.

Carlyle Group is leasing the land for the data center under an “enhanced use lease” that allows branches of the military to rent under-used land on bases.

Land on federal installations is not subject to state or local taxes. However, the statute that authorizes the U.S. military to lease excess land to private entities says that “the interest of a lessee of property leased under this section may be taxed by State or local governments.”

So, while the land the data center is built on would not be subject to taxation, the structures housing the data center could be subject to local property taxes.

But it depends on how the deal is structured, including factors such as whether Carlyle or the Army ultimately takes ownership of the buildings.

The Army in January awarded a contract to Korean-owned Hanwha Defense USA, which will invest $1.3 billion to develop a munitions factory at a base in Pine Bluff, Arkansas, using an enhanced use lease.

Fitzgerald, the Army undersecretary, acknowledged the public pushback to other data centers such as Meta and Project Jupiter. But he said the Army wants to ensure the project is developed “the right way.”

“There are always elements that will kind of make this an ‘us versus them’ sort of a construct, but I don’t think we view it that way from the Army,” he said. “I think there’s a path here that will benefit not just the installation, but the community as well.”

CenterPoint launches real-time tracker to map Houston’s power grid upgrades

resiliency plan

Houstonians can now track electronic infrastructure improvements via CenterPoint’s new Community Progress Tracker, part of the company’s ongoing Greater Houston Resiliency Initiative.

The tracker allows users to search by zip code and see completed work in real time, as well as updates on upcoming projects that highlight infrastructure improvements and efforts to strengthen the power grid in the face of extreme weather. Users can view icons on a map that track automation and intelligence projects, storm-resilient pole and equipment installations, undergrounding work and tree trimmings.

CenterPoint had installed 10,000 storm-resilient poles, cleared 1,600 miles of higher-risk vegetation, completed 99 miles of power line undergrounding and hardened 220 miles of power lines by the end of Q1 2026, according to the company.

For the rest of 2026, CenterPoint aims to install 35,000 stronger, storm-resilient poles, clear high-risk vegetation from 8,000 miles of power lines and harden 500 transmission structures against storms.

Via centerpointenergy.com

“We are proud of the progress made in 2025, which helped deliver more than 100 million fewer outage minutes when compared to 2024, and we are determined to make even more progress in 2026 as we work toward our defining goal: building the nation's most resilient coastal grid,” Nathan Brownell, CenterPoint's vice president of resilience and capital delivery, said in a news release. “To date, we are ahead of schedule in making critical 2026 GHRI improvements, and we will continue to build the stronger, smarter infrastructure necessary to further improve systemwide reliability and strengthen resiliency, reducing the likelihood and impact of outages for our customers.”