The strike by 45,000 longshoremen at the US port is likely to begin at midnight

NEW YORK (AP) – The union representing U.S. longshoremen has signaled that 45,000 members will walk off work at midnight, sparking a massive strike that will likely lead to the closure of ports on the East and Gulf Coasts.

The impending work stoppage threatens to significantly disrupt the country’s supply chain, potentially leading to higher prices and delays for households and businesses if it drags on for weeks. The strike by members of the International Longshoremen’s Association could cause 36 ports – which handle about half of the goods shipped to and from the US – to cease operations.

The ILA confirmed over the weekend that its members would go to the picket line at 12:01 a.m. on Tuesday. In an update Monday, the union continued to accuse the United States Maritime Alliance, which represents the ports, of continuing to “block the path to an agreement before the contract deadline.”

“The shipping companies represented by USMX want to enjoy the whopping billions in profits they will make in 2024 while offering ILA Longshore workers an unacceptable wage package that we reject,” ILA said in a prepared statement. “ILA longshoremen deserve compensation for the important work they do to keep America’s trade moving and growing.”

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

The Associated Press has reached out to a USMX spokesman for comment.

If the strike were prolonged, companies would be forced to pay shippers for delays and would cause some goods to arrive late during peak holiday shopping season – potentially affecting deliveries of everything from toys to artificial ones Christmas trees to cars, coffee and vegetables. Americans could also face higher prices as retailers feel the pinch of supply.

“If the strikes continue, they will cause huge delays throughout the supply chain, a domino effect that will undoubtedly spread into 2025 and cause chaos across the industry,” noted Jay Dhokia, founder of supply chain management and logistics company Pro3PL .

Dhokia added that it is not just East Coast ports that are at risk of disruption, as pre-strike concerns have already diverted many shipments to the West, causing congestion on routes and greater pressure on demand. The impact is also being felt internationally – particularly in countries like the United Kingdom, where the U.S. is the largest trading partner, he said.

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ILA members are calling for higher wages and a total ban on the automation of cranes, gates and container transporters used in loading and unloading cargo.

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

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

All eyes are on what actions, if any, the government might take — especially just weeks before a close presidential election. But Biden has signaled that he will not exercise that power.

During an exchange with reporters on Sunday, Biden said “no” when asked if he planned to intervene in the potential walkout.

“Because it’s collective bargaining, I don’t believe in Taft-Hartley,” Biden said, referring to a 1947 law that allows the president to intervene in labor disputes that endanger the country’s health or safety.