UNITED STATES - The bitter West Coast port saga has reached its conclusion.

After nine months of negotiations, U.S. Labor Secretary Thomas Perez and federal mediator Scot Beckenbaugh have brokered a compromise between dockworkers and their employers.

The new five-year contract agreement will “create a new process for the selection of arbitrators” after dockworkers, represented by the International Longshore and Warehouse Union (ILWU), had asked for the removal of a previously designated arbitrator that they viewed as too pro-business, according to Politico.

Additional details of the contract have not yet been made clear by the union and management.

The tentative labor deal marks a huge victory for Perez after he was requested by President Obama to meet with negotiators from the ILWU and the Pacific Maritime Association (PMA) in San Francisco. Without a doubt, the port deadlock has inflicted a great blow to California citrus farmers, whose export losses were estimated to be up to hundreds of millions of dollars per week. FEDEFRUTA and the Chilean Fruit Exporters Association (ASOEX) have also reported that the damages from the port slowdown have reached approximately $50 million, which is higher than previously anticipated.

The White House calls the agreement “great news” for the parties involved in the negotiation and a “huge relief” for the economy. The press statement also commends Perez for his “hard work bringing about a successful resolution” to the dispute. Had Perez not succeeded, a full-scale, extended shutdown of the ports would have cost the U.S. economy about $2 billion a day, according to Reuters.

According to a joint statement made by maritime association President James McKenna and union President Robert McEllrath, the ports can now resume full operations. Reuters reports that port officials estimate it would take approximately six to eight weeks before the immediate backlog of cargo containers would be cleared, and several months before freight traffic returns to its regular rhythm.

The deal has yet to be ratified by both parties, though Perez has expressed his confidence that the rank-and-file will approve the agreement.

Stay tuned to AndNowUKnow for more updates on the situation.