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The strike of 45,000 dock workers at the American port will almost certainly start at midnight
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The strike of 45,000 dock workers at the American port will almost certainly start at midnight

NEW YORK (AP) — The union representing U.S. longshoremen has said 45,000 of its members will walk off the job at midnight. a strike will likely close ports on the East Coast and Gulf Coast.

The coming work stoppage threatens to significantly undermine the country’s supply chain, potentially leading to higher prices and delays in goods reaching households and businesses if it continues for weeks. That’s because the strike by members of the International Longshoremen’s Association could cause 36 ports — which handle roughly half of the goods shipped to and from the U.S. — to halt operations.

ILA confirmed this weekend that its members would appear at the picket lines at 12.01am on Tuesday. In a Monday update, the union blamed the United States Maritime Alliance, which represents the ports, for “blocking the path” to an agreement before the contract deadline.

“The Ocean Carriers represented by USMX want to enjoy the rich billion-dollar profits they make in 2024, while offering ILA Longshore Workers an unacceptable wage package that we reject,” ILA said in a prepared statement. “ILA workers at the Port deserve to be compensated for the important work they do to keep American commerce moving and growing.”

ILA also accused shippers of “teasing their customers” with significant container price increases in recent weeks. The union said this will result in higher costs for American consumers.

The Associated Press reached out to a USMX spokesperson for comment.

If the strike were to continue, companies would be forced to pay shippers for delays, causing some goods to arrive late during the peak holiday season – potentially affect the delivery of anything of toys or artificial Christmas trees, to carscoffee and fruit.

A strike could have an almost immediate impact on the supply of perishable imports such as bananas. The ports that could be affected by the strike handle 3.8 million tons of bananas annually, or 75% of the U.S. supply, the American Farm Bureau Federation said.

Americans could also see higher prices as retailers feel the supply crunch.

“If the strikes continue, they will cause massive delays throughout the supply chain, a ripple effect that will undoubtedly roll into 2025 and cause chaos throughout the industry,” said Jay Dhokia, founder of supply chain management and logistics company Pro3PL.

Dhokia added that east coast ports are not the only ones at risk of disruption as concerns leading up to the strike have already diverted many shipments westwards, increasing route congestion and pressure on demand. The impact will also be felt internationally – especially in places like Britain, he said, where the US is the largest trading partner.

ILA members demand higher wages and a total ban on the automation of cranes, gates and trucks for moving containers used when loading or unloading cargo.

The upcoming ILA workers’ strike — which will affect ports from Maine to Texas — will be the union’s first since 1977. Port workers on the West Coast belong to a different union and are not involved in the strike.

If a strike were deemed a danger to American economic health, President Joe Biden could seek a court order for an 80-day cooling-off period under the 1947 Taft-Hartley Act. That would suspend the strike.

All eyes are on what action the government might take – especially just weeks before the election close presidential election. But Biden has indicated he will not exercise this power.

Speaking to reporters on Sunday, Biden said “no” when asked whether he planned to intervene in the potential work stoppage.

“Because it’s collective bargaining, I don’t believe in Taft-Hartley,” he said.

At a briefing Monday, White House press secretary Karine Jean-Pierre reiterated that the Taft-Hartley administration has never called for “breaking a strike and is not considering doing so now.” She added that top officials are still urging both sides to return to the negotiating table and negotiate in good faith.

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Krisher reported from Detroit. AP writers Mae Anderson in New York, Stephen Groves in Dover, Delaware, Dee-Ann Durbin in Detroit and Zeke Miller in Washington contributed to this report.