US East Coast Port Strike Scheduled to Begin Tuesday, Union Reports

By David Shepardson and Steve Holland

WASHINGTON – A strike at ports along the U.S. East Coast and Gulf of Mexico is set to begin on Tuesday, as announced by the International Longshoremen’s Association (ILA) union. This move could lead to significant delays and disruptions in supply chains.

In a statement, the union expressed frustration over what it described as "a half-century of wage subjugation" by the United States Maritime Alliance (USMX), which represents employers in the longshore industry across these regions.

As of now, there has been no response from USMX. If the strike occurs, it will mark the first coast-wide ILA strike since 1977, impacting ports that account for nearly half of the nation’s ocean shipping.

Reports indicate that no negotiations took place on Sunday, and none are scheduled prior to the midnight deadline on Monday. The union has previously stated that military cargo shipments and cruise ship traffic will not be affected by the strike.

The White House has yet to comment on the union’s announcement. On Sunday, President Joe Biden stated he would not intervene to prevent the strike if dock workers did not secure a new contract by the October 1 deadline. He emphasized his belief in collective bargaining and rejected the use of the Taft-Hartley Act, which allows presidents to halt labor disputes that threaten national security by imposing an 80-day cooling-off period.

A potential strike could disrupt the transportation of essential goods, including food and automobiles, from major ports, posing risks to jobs and inflation just weeks before the U.S. presidential election.

The Business Roundtable, which represents prominent U.S. business figures, expressed deep concern over the potential strike in East Coast and Gulf Coast ports. The organization warned that a labor stoppage could cost the U.S. economy billions daily, negatively affecting businesses, workers, and consumers. They urged both sides to reach an agreement before the impending deadline.

For several months, the union has warned of a full shutdown of the 36 ports under its jurisdiction if employers such as Maersk and APM Terminals North America fail to provide substantial wage increases and halt terminal automation projects.

The ongoing dispute is causing anxiety among businesses reliant on ocean shipping for exports or to secure vital imports.

Recently, officials from the Biden administration met with representatives from the USMX to emphasize the need for constructive and prompt negotiations, a message previously communicated to the ILA. However, the USMX has accused the ILA of being unwilling to engage in discussions.