The International Longshore Association (ILA), representing 85000 dockworkers in the United States, announced on Sunday that port strikes on the East Coast and Gulf of Mexico will begin on Tuesday. This strike may lead to serious supply chain disruptions.
The American Maritime Alliance... refuses to address half a century of wage oppression, "ILA said in a statement. The United States Maritime Federation (USMX) represents employers of ports along the East Coast and Gulf Coast of Mexico.
The upcoming strike will be the first large-scale strike by dockworkers on the East Coast and Gulf of Mexico ports since 1977, affecting ports from Maine to Texas. ILA has previously stated that the strike will not affect military cargo transportation or cruise ship traffic.
A source told the media that there were no negotiations on Sunday and there are currently no plans to hold talks before the midnight deadline on Monday.
For several months, ILA has been threatening to shut down the 36 ports it covers if employers such as container ship operator Maersk do not significantly increase wages and limit terminal automation. These ports handle about half of the ocean imports from the United States.
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Earlier on Sunday, US President Biden stated that he has no intention of intervening to prevent a strike if dockworkers fail to secure new contracts by the October 1st deadline.
This is collective bargaining. I don't believe in the Taft Hartley Act, "Biden told reporters.
The Taft Hartley Act was a federal law enacted by the United States Congress in 1947 that restricted the activities and powers of unions. According to the bill, the President can intervene in labor disputes that threaten national security by establishing an 80 day cooling off period.
Or cause billions of dollars in economic losses every day
With only a few weeks left until the US presidential election, strikes could lead to disruptions in the transportation of various goods from food to cars at major ports. This dispute could jeopardize employment and exacerbate inflation.
The Business Roundtable (BRT), an influential business organization in the United States, expressed deep concern over potential strikes at ports along the East Coast and Gulf Coast.
The organization warns that port strikes could cause billions of dollars in losses to the US economy every day, "harming the interests of American businesses, workers, and consumers nationwide. We urge both sides to reach an agreement before the deadline of midnight on Monday