At least 45 container vessels were anchored outside US ports on Thursday as a massive strike by dockworkers stretching from Maine to Texas entered its third day.
Container ships formed lengthy queues along the East Coast and Gulf Coast ports by late Wednesday, unable to unload goods due to picketing dockworkers, compared to just three on Sunday prior to the strike, according to Everstream Analytics.
Everstream’s Jean Santoro said the backup could double by the end of the week if strikes persist.
The resulting logjam could take weeks or even months to clear, she said.
“Many seem to have decided to wait it out, possibly in hopes of a prompt resolution to the strike action, rather than taking the proactive decision to divert,” Santoro said in a video presentation seen by Reuters.
Some 45,000 port workers have struck for higher wages and protections from automation in their next contract.
Analysts have warned the strike could cost the economy billions of dollars a day as food, automobile, pharmaceutical and other goods shipments stall.
President Joe Biden – who has issued support for the port workers – signaled the contract was making headway, though he did not provide details.
“I think we’re making progress,” Biden said on Thursday. “We’ll find out soon.”
There were no negotiations scheduled on Thursday between the International Longshoremen’s Association and employers, though port owners issued a statement late Wednesday indicating they were open to new talks.
“Reaching an agreement will require negotiating,” the United States Maritime Alliance said late Wednesday. “We cannot agree to preconditions to return to bargaining, but we remain committed to bargaining in good faith to address the ILA’s demands and USMX’s concerns.”
The ILA launched the strikes – its first major walkout since 1977 – on Tuesday.
Harold Daggett – the union boss leading the strike who raked in $728,000 in compensation last year from the ILA – said the union is seeking a $5 per hour raise for each year of the six-year contract and a promise to prohibit automation.
Retailers, auto suppliers and produce importers had hoped Biden would impose the federal Taft-Hartley Act, which allows US presidents to force employees to return to work for an 80-day cooling-off period during labor disputes.
But those hopes were dashed when Biden said Monday that he does not “believe” in Taft-Hartley.
The National Retail Federation – along with nearly 300 other trade associations – on Wednesday called for the Biden administration to take a stronger stance on the strikes and force employees back to work.
Daggett has signaled the ILA is in it for the long haul.
“We are prepared to fight as long as necessary, to stay out on strike for whatever period of time it takes, to get the wages and protections against automation our ILA members deserve,” Daggett said on Tuesday.
The strike comes soon after Hurricane Helene wreaked devastation across the Southeastern states and ahead of the holiday shopping season – and it could further disrupt the country’s shaken supply chain.
About half of US imports arrive via water, according to Morgan Stanley.
Though the strike will not immediately affect prices, the port logjams could ultimately result in food shortages and price hikes akin to the economic turmoil seen during the pandemic.
“From a consumer standpoint if the strike goes a couple of weeks, you’ll start to see impacts on the grocery side,” Larry Gross, a supply chain analyst and president of Gross Transportation Consulting, told The Post.
Some shoppers reported long lines at gas stations and empty shelves at supermarkets as worried consumers stocked up in fear of shortages.
With Post wires
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