NEW YORK (AP) — U.S. ports from Maine to Texas shut down Tuesday when the union representing about 45,000 dockworkers went on strike for the first time since 1977.
Workers began walking picket lines early Tuesday, picketing near ports all along the East Coast. Workers outside the Port of Philadelphia walked in a circle and chanted, “No work without a fair contract.”
A lengthy shutdown could raise prices on goods around the country and potentially cause shortages and price increases at big and small retailers alike as the holiday shopping season — along with a tight presidential election — approaches.
What are the issues in the dockworkers strike?
The International Longshoremen’s Association is demanding significantly higher wages and a total ban on the automation of cranes, gates and container-moving trucks that are used in the loading or unloading of freight at 36 U.S. ports. Those ports handle roughly half of the nations’ cargo from ships.
The contract between the ILA and the United States Maritime Alliance, which represents the ports, expired Tuesday. Some progress was reported in talks late Monday, but the union went on strike anyway.
The union’s opening offer was for a 77% pay raise over the six-year life of the contract, with President Harold Daggett saying it’s necessary to make up for inflation and years of small raises. ILA members make a base salary of about $81,000 per year, but some can pull in over $200,000 annually with large amounts of overtime.
Monday evening, the alliance said it had increased its offer to 50% raises over six years, and it pledged to keep limits on automation in place from the old contract. The alliance also said its offer tripled employer contributions to retirement plans and strengthened health care options.
Which ports are affected?
While any port can handle any type of goods, some ports are specialized to handle goods for a particular industry. The ports affected by the shutdown include Baltimore and Brunswick, Georgia, the top two busiest auto ports; Philadelphia, which gives priority to fruits and vegetables; and New Orleans, which handles coffee, mainly from South America and Southeast Asia, various chemicals from Mexico and North Europe, and wood products such as plywood from Asia and South America.
Other major ports affected include Boston; New York/New Jersey; Norfolk, Virginia; Wilmington, North Carolina; Charleston, South Carolina; Savannah, Georgia; Tampa, Florida; Mobile, Alabama; and Houston.
Can the government intervene?
If a strike were deemed a danger to U.S. economic health, President Joe Biden could, under the 1947 Taft-Hartley Act, seek a court order for an 80-day cooling-off period. This would suspend the strike.
But Biden, during an exchange with reporters on Sunday, said “no” when asked if he planned to intervene to plan a potential work stoppage impacting East Coast ports.
“Because it’s collective bargaining, I don’t believe in Taft-Hartley,” Biden said.
How will this affect consumers?
The strike could last weeks — or months. If the strike is resolved within a few weeks, consumers probably wouldn’t notice any major shortages of retail goods. But a strike that persists for more than a month would likely cause a shortage of some consumer products, although most holiday retail goods have already arrived from overseas. Shoppers could see higher prices on a vast array of goods, from fruit and vegetables to cars.
