Dockworkers have shut down 36 ports from Maine to Texas as 45,000 workers began walking picket lines Oct. 1 in a strike over wages and automation, AP reported.
The contract between the International Longshoremen's Association and the United States Maritime Alliance expired Monday. As labor negotiations stalled, ILA began its first strike since 1977.
The union is demanding higher wages as shipping companies made record profits during the pandemic by charging higher prices because of shortages.
As the strike moves forward, it could cost the economy up to $5 million a day, and its effects could trickle down to small and medium-sized businesses, USA Today reported.
With ports on the East Coast closed, businesses may have to reroute shipments to the West Coast and absorb those costs.
If the strike lasts long-term, consumers may face higher prices and shortages, USA Today reported.
Associated Builders and Contractors released a statement Oct. 1 urging negotiations to continue. “ABC urges President Joe Biden to invoke his powers under the Taft-Hartley Act to restore operations at the ports and bring parties to the negotiating table so a contract can be reached with the help of a federal mediator,” ABC Vice President of Legislative and Political Affairs Kristen Swearingen said in a statement.
The Hardwood Federation is seeking examples of how the strike will impact U.S. hardwood operations. Companies can share their experience by contacting Bryan Brendle at [email protected]. The Hardwood Federation will not share company names unless given permission to.