Thousands of longshoremen at ports from New England to Texas went on strike just after midnight Tuesday as they push for higher wages and greater job security.
The work stoppage, the first op East and Gulf Coast ports since 1977follows a prolonged standoff in labor talks between the International Longshoremen’s Association (ILA) and the United States Maritime Alliance (USMX), a shipping industry group representing terminal operators and ocean carriers.
According to USMX, the strike is expected to involve 25,000 workers and close 14 ports: Baltimore; Boston; Charleston, South Carolina; Jacksonville, FL; Miami; Houston; Mobile, Alabama; New Orleans; New York/New Jersey; Norfolk, VA; Philadelphia; Savannah, Georgia; Tampa, FL; and Wilmington, Delaware.
The ILA is demanding significant wage increases and a complete ban on the use of automated cranes, gates and trucks to move containers when unloading or loading cargo.
The Port of New York and New Jersey quickly said they were closing numerous facilities on Tuesday because of the strike. The Port of Virginia did the same.
The ports affected by the strike handle about half of the country’s shipping cargo. Experts say the economic impact of a prolonged work stoppage could be severe, potentially raising the cost of consumer goods and causing shortages in the run-up to the holidays.
A one-week strike would… US economy almost $3.8 billion and increase the cost of consumer goods, the Conference Board said.
For consumers and businesses, an extended strike could hamper shipments of products such as bananas, manufacturing components, plywood and raw materials such as cotton and copper. Fresh meat and other refrigerated foods can also spoil, leading to shortages and higher prices.
Yet many companies have been preparing for months and stockpiling products that could be disrupted by the closure of the ports.
Shortly after the strike began, New York Governor Kathy Hochul issued a statement saying her administration “has been working around the clock to ensure our grocery stores and medical facilities have the essential products they need. It is critical for USMX and the ILA to soon reach a fair agreement that respects workers and ensures the flow of trade through our ports. In the meantime, we will continue our efforts to minimize disruption to New Yorkers.”
Hochul said at a press conference on Monday that New York don’t expect any shortages of essential items at short notice, and she advised consumers against stockpiling goods.
