Dockworkers Are On Strike, Threatening Movement of Goods Through Major U.S. Ports
Written by David C. Lester, Editor-in-Chief
Norfolk Southern
ATLANTA -- Dockworkers at major ports along the East and Gulf Coasts of the United States went on strike at Midnight Tuesday, October 1.
The Wall Street Journal reported Tuesday, 10/1, that dockworks at ports throughout the East and West Coasts walked off the job at midnight Tuesday after a prolonged series of negotiations between port owners and the International Longshoremen’s Association. Members hit the picket lines early Tuesday morning over the ILA’s request for a 77% wage increase over six years, along with increased benefits Port owners initially offered a 40% increase, but the two parties could not agree on an increase before the strike was called.
Container cranes at the Port of Savannah/Courtesy Georgia Ports Authority
While the length of the strike will determine the size of the impact U.S. and world economies, cargo ships are already dropping their anchors as they approach Eastern and Gulf ports.
According to the WSJ, “The walkout shuts down some of the country’s main gateways for imports of food, vehicles, heavy machinery, construction materials, chemicals, furniture, clothes and toys.” Of course, if the strike continues for a prolonged period, the railroads will be hit square in the nose as containers represent a vital source of traffic.
This is all happening before a Presidential election and the holiday shopping season, which usually kicks in around November 15. Congress is urging the White House to intervene in the strike. While democratic administrations are usually sympathetic to unions during this type of situation, the looming impact on the economy, and the possible effect of a prolonged strike on very tight Presidential race could cause some politicians to modify their view of the strike.
