Dockworkers on the US East Coast and Gulf Coast went on strike, halting about half of the country’s shipping after talks on a new labour contract collapsed over wages, according to Reuters.
The strike is blocking everything at dozens of ports from Maine to Texas and will cost the economy billions of dollars a day, jeopardise jobs and spur inflation.
The International Longshoremen’s Association (ILA) union, which represented 45,000 port workers, was negotiating a new six-year contract with the United States Maritime Alliance (USMX) employer group before the midnight deadline of 30 September.
The ILA said it rejected the USMX’s final offer on Monday. Its leader Harold Daggett argued that employers, such as container ship operator Maersk and its APM Terminals North America, had not offered appropriate wage increases and had not agreed to demands to halt port automation projects.
We are prepared to fight as long as necessary, to stay out on strike for whatever period of time it takes, to get the wages and protections against automation our ILA members deserve. USMX owns this strike now. They now must meet our demands for this strike to end.
US Chamber of Commerce President Suzanne Clark urged President Joe Biden on Monday to reconsider his decision. She said it “would be unconscionable to allow a contract dispute to inflict such a shock to our economy.”
Meanwhile, retailers, which account for about half of all container traffic, have been aggressively implementing backup plans ahead of the winter holiday sales season. Many major players have rushed to deliver Halloween and Christmas goods in advance to avoid any disruption caused by the strike.
