(Reuters) -The International Longshoremen's Association and the United States Maritime Alliance (USMX) are set to resume contract talks on Jan. 7, according to a person familiar with the matter.

Talks between the ILA, which represents more than 45,000 dockworkers across the U.S. East and Gulf coast ports, and the employer group are at an impasse over issues related to automation at port terminals.

Both parties signed a tentative deal in October, which gave workers a 62% wage hike over six years, to end a three-day strike but left issues related to automation unresolved.

Another coast-wide strike at U.S. East and Gulf coast ports looms large if an agreement is not reached before Jan. 15, which will not only halt billions in trade but also raise inflationary pressures and threaten existing supply chains.

USMX had earlier said the technology at issue does not harm longshore employment, and added such modernization was necessary to keep U.S. ports competitive.