The strike will affect about 36 ports that handle about half of the goods shipped in and out of the United States. It will affect the nation’s supply chain, potentially raising prices and delaying the delivery of goods to families and businesses.
The union says the United States Maritime Alliance, which represents the ports, is blocking the potential deal before the contract expires despite enjoying billions of dollars in profits in 2024, while offering ILA port workers an unacceptable pay package. ILA port workers are demanding a pay increase and a complete ban on automation of cranes, gates and trucks that move containers used to load or unload cargo.
The strike would force companies to compensate shippers for delays and cause late arrivals of goods during the peak holiday shopping season, potentially impacting the delivery of everything from toys and artificial Christmas trees to cars, coffee and fruit; increase prices; and other problems could also occur internationally, particularly with the United Kingdom, where the United States is the largest trading partner.
If a strike is deemed to be a danger to the economic health of the United States, President Joe Biden could suspend the strike under the Taft-Hartley Act of 1947, seeking a court order for an 80-day cooling-off period. The president, in an interview when asked to intervene, responded that it is not useful to resort to Taft-Hartley during a collective bargaining agreement.
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