2024 United States port strike

The 2024 United States port strike is a labor strike involving over 45,000 port workers who are part of the International Longshoremen’s Association (ILA), impacting 36 ports across the United States primarily along the East Coast and the Gulf Coast. The strike began at midnight EST on October 1, 2024, following the expiration of a contract between the port workers and the ports due to disagreements about fair compensation for workers and the use of automation. The strike represented the first strike at East Coast and Gulf Coast ports since 1977.

2024 United States port strike
Date	October 1, 2024
Location	United States East Coast and Gulf Coast ports
Goals	Increased wages Complete ban on automation
Parties
International Longshoremen’s Association (ILA) U.S. Maritime Alliance (USMX) ~45,000 port workers at 36 ports
Lead figures
Harold Daggett

Background

The U.S. Maritime Alliance (USMX) negotiated intensively with the International Longshoremen’s Association (ILA) on pay raises, the latter representing East Coast and Gulf Coast port workers which handle 43% to 49% of all U.S. imports, constituting several billions of USD in trade every month. with the latter proposing an opening offer of a gradual pay raise of 77% over the course of the six-year contract to account for several years of smaller wage increases and inflation. The union also demanded that automation be completely banned for port work. The prior contract gave dockworkers starting wages between $20 to $39 per hour based on experience.

Following two days of negotiations, ILA President Harold Daggett, who was part of the union the last time the association held a strike in 1977, told union members that a strike would commence at 12:01 a.m. EST on October 1 if USMX did not meet their demands, which union members gave unanimous support for. The ILA requested the pay increase due to inflation in addition to their work helping to greatly increase shipping profits during the COVID-19 pandemic. In a video statement, Daggett threatened United States President Joe Biden's administration with a worker slowdown if they attempted to force members back to work using the Taft-Hartley Act.

On the evening of September 30, the eve of the strike, the U.S. Maritime Alliance proposed a 50% pay raise and a commitment to limited incorporation of automation, but not a complete ban, as means to resume negotiations. The alliance also claimed that they had tripled port employer contributions to worker healthcare and retirement benefits. At night, the ILA made a statement accusing the alliance of refusing to incorporate their requests for a fair contract. The union called the 50% pay raise proposal "unacceptable". USMX accused ILA of refusing to negotiate, and asked labor regulators to command that the union continue them in a formal complaint. ILA dismissed the complaint as a "publicity stunt".

Course of the strike

In anticipation of the official start of the strike, workers at the Port of Virginia began systematically halting operations after 8:00 a.m. EST, closing the port gates for truck deliveries at noon, issuing orders for ships to leave the port by 1:00 p.m., and ceasing cargo work at 6 p.m.

At midnight on October 1, dockworkers outside the Port of Philadelphia began to picket and demonstrate in a circle, chanting: “No work without a fair contract” next to a union truck bearing a message decrying the impact of automation on job security and workers' families. About fifty Port Houston dockworkers began to picket at 11 p.m. CST.

Other involved ports included the Port of New York and New Jersey, Port Wilmington (which deals with about 25% of the nation's banana supply), the Port of Baltimore (the U.S.'s largest auto importer), Port of Norfolk, Port of Charleston, Port of Savannah, Port of Jacksonville, PortMiami, Port Tampa Bay, Port of Mobile, Port of New Orleans, and Port of Houston, preventing the unloading of all cargo across all ports involved. The ILA stated that demonstrations would be conducted 24/7 until a $5 an hour salary increase was established in the new contract and that all container royalties went to workers.

Impact

Estimates

Experts in supply chains stated that while the strike likely would not generally cause immediate significant impacts, that it could cause a drastic interruption in the United States' supply chain in a few weeks, causing delays in products reaching businesses and higher prices. They also predicted that the strike would also significantly hamper West Coast port operations. Perishable items such as fruits and vegetables, on the other hand, were predicted to have immediate impacts on supply due to the strike-impacted ports working with large proportions of the United States' supplies (e.g. handling 75% of the U.S.'s supply of bananas).

Economists predicted that the slowing of industrial and consumer goods and resulting price hikes could significantly hinder the economy following its gradual improvement against inflation. The Anderson Economic Group estimated that the U.S. economy would lose $2.1 billion from a one-week strike, $1.5 billion due to the loss in value or degradation of items such as perishable goods, $400 million for transportation company losses, and $200 million in lost wages for the striking port workers. The research group further predicted that the losses per day would accelerate the longer the strike went on. J.P. Morgan estimated a higher $3.8 billion to $4.5 billion loss per day for the economy for the length of the strike, with some losses recovered following the strike's end.

United States Analysts at Sea Intelligence estimated that $3.7 billion in un-handled freight would be lost per day by the strike in East Coast ports alone, based on them handling an estimated 74,000 shipping containers per day for October 24 worth an average of about $50,000. The organization also predicted that it would take five days to resume normal port operations following a one-day long strike, and it would take until mid-November until port operation and supply chain slowdowns stopped after a one-week long strike. Economist Grace Zemmer estimated that the strike could cause a temporary loss of employment for over 100,000 people.

Responses

Government

Two days before the strike on September 29, United States President Joe Biden stated that he would not intervene in the strike when asked by reporters. On September 30, he ordered National Economic Council Director Lael Brainard and White House Chief of Staff Jeff Zients to talk with USMX's leadership to convince them to quickly work out a fair deal, which did not prevent the strike. The United States Chamber of Commerce insisted that Biden take action to stop the strike, recalling the negative impact supply chain delays and shortages caused to the economy during the COVID-19 pandemic early in Biden's presidency.

On 1 October, Biden stated that he urged the ILA to settle with a $4 an hour salary increase prior to the strike, and insisted that the USMX return to negotiations with a fair contract.

Governor of New York Kathy Hochul released a statement just prior to the onset of the strike, assuring that the state was taking special efforts to provide healthcare facilities and grocery stores with essential goods.

Unions

The Transportation Trades Department (TTD) of the AFL-CIO released a public statement prior to the strike in support of the organization and its aims, and accused the port employers of knowingly delaying contract negotiations to the last moment despite knowing the damage it would cause to American consumers and the U.S. economy, and using it to put the blame on workers. President of the AFL-CIO Liz Shuler stated that any attempts by the government to invoke the Taft-Hartley Act or try to force striking workers to negotiate on worse terms would only benefit employers at the expense of workers. Labor experts noted that attempting to stop the strike would likely significantly hinder Vice President Kamala Harris's presidential campaign to succeed Biden.

The International Brotherhood of Teamsters issued a statement expressing solidarity towards striking port workers and the ILA, while also warning that "[t]he U.S. government should stay the f**k out of this fight [sic]".

Trade associations

The National Association of Manufacturers urged congressional leaders to intervene against the strike and help both parties reach a deal if Biden was unwilling to take action to speed up negotiations.

See also

• 2012 Ports of Los Angeles and Long Beach strike
• 1936 Gulf Coast maritime workers' strike
• 1935 Gulf Coast longshoremen's strike
• 1919 New York City Harbor strike
• 1895 New Orleans dockworkers massacre