Agencies
Tens of thousands of U.S. dockworkers plan to strike this week if there is no breakthrough on contract talks, just a month before November’s closely contested presidential election.
A walkout affecting 14 large ports on the East and Gulf Coast could start at midnight on Tuesday October 1, posing a potentially significant headwind to the U.S. economy.
Negotiations on a new contract began in May but have stalled in recent weeks.
The United States Maritime Alliance (USMX), which represents shipping companies and terminal operators, on Thursday asked federal officials to intervene, citing the union’s “repeated refusal to come to the table.”
The International Longshoremen’s Association (ILA) dismissed the complaint as “another publicity stunt.” The union is pressing for protections against automation-related job loss and for hefty wage hikes after dockworkers kept providing essential services throughout the pandemic.
ILA President Harold Daggett dismissed USMX’s “low-ball wage offer” as a “joke,” signaling that the rank-and-file are prepared to walk off the job and follow workers at Boeing, Detroit automakers and in other sectors over the last 18 months who have launched strikes in the tight U.S. labor market The ILA represents 85,000 workers across 36 ports.
A walkout would be the ILA’s first since 1977. The contract directly affects some 25,000 ILA members at 14 large U.S. ports, including New York/New Jersey, Boston, Philadelphia, Savannah, New Orleans and Houston.
But a strike would affect additional workers at smaller shipping facilities and terminals all along the coast of the eastern half of the United States, from Maine to Texas.
“A strike will be very disruptive across the U.S. economy and the global economy,” said Brent Moritz, a professor of supply chain management at Penn State Smeal College of Business.
