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A planned strike by thousands of unionized dockworkers along the East and Gulf Coasts could reportedly upend the economy.

At issue is the International Longshoremen’s Union, which is demanding “significantly higher wages and a total ban on the automation of cranes, gates and container movements that are used in the loading or loading of freight at 36 U.S. ports,” according to CBS News.

The latter requirement is designed to prevent their jobs from being outsourced to machines.

If an agreement isn’t reached by Oct. 1st, the union intends to strike.

“If a strike were resolved within a few weeks, consumers probably wouldn’t notice any major shortages of retail goods,” CBS News notes.

However, a lengthier strike — which is typical — could lead to noticeable shortages and tangible economic harm.

“A prolonged strike would almost certainly hurt the U.S. economy,” CBS News admits. “Even a brief strike would cause disruptions. Heavier vehicular traffic would be likely at key points around the country as cargo was diverted to West Coast ports, where workers belong to a different union not involved in the strike.”

“And once the longshoremen’s union eventually returned to work, a ship backlog would likely result. Experts say it takes four to six days to clear up every day of a port strike,” according to CBS News.

Speaking with Fox Business Network, National Retail Federation (NRF) Vice President of Supply Chain and Customs Policy Jonathan Gold echoed CBS’ reporting.

“The global supply chain is a complex system and even a minor disruption would have a negative impact and cause delays at a critical time for both retailers and consumers,” he said.

The only good news, he added, is that many retailers are already working to “mitigate the potential impact of a strike by bringing in products earlier or shifting products to the West Coast.”

The NRF and a group of 177 total trade associations have reportedly written multiple letters to the Biden-Harris administration asking the president to effectively block the strike because a “strike at this point in time would have a devastating impact on the economy, especially as inflation is on the downward trend.”

“At this critical juncture, it is imperative that the parties return to the table without engaging in disruptive activities that could harm the economy and the millions of businesses, workers, and consumers who rely on the seamless flow of goods, both imports and exports, through our East Coast and Gulf Coast ports,” one of their letters reads.

But as is typical of President Joe Biden, whom the evidence shows is beholden to the unions, he refuses to intervene.

“U.S. President Joe Biden does not intend to invoke a federal law to prevent a port strike on the East Coast and Gulf of Mexico if dockworkers fail to secure a new labor contract by an Oct. 1 deadline,” Reuters reported, citing an administration official.

Complicating matters for Biden is that the union wants nothing to do with him in regard to the ongoing negotiations.

“The Biden administration played a role in last year’s final negotiations between terminal employers and the International Longshore and Warehouse Union on the West Coast,” according to Lloyd’s List. “But in the case of the east and Gulf coast contract, the union is blocking federal government participation.”

“We [are not] interested in any help from outside agencies to interfere in our negotiations with USMX [US Maritime Alliance, the terminal employers]. This includes the Biden administration and the Department of Labor,” Union President Harold Daggett said in a statement back in July.

USMX, the company the union was negotiating with, said Tuesday that it’s “in strong agreement with the 177 trade associations who are calling for the immediate resumption of negotiations with the ILA.”

“It is disappointing that we have reached this point where the ILA is unwilling to reopen dialogue unless all of its demands are met,” the statement continues. “We call on the ILA to return to bargaining so we can reach a new deal before the expiration of our current agreement, something we continue to believe is possible if the other side is willing to meet.”

Vivek Saxena
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