DETROIT (AP) — Some 45,000 dockworkers at East and Gulf coast ports are returning to work after their union reached a deal to suspend a strike that could have caused shortages and higher prices if it had dragged on.þþThe International Longshoremen’s Association is suspending its three-day strike until Jan. 15 to provide time to negotiate a new contract. The union and the U.S. Maritime Alliance, which represents ports and shipping companies, said in a joint statement that they have reached a tentative agreement on wages.þþA person briefed on the agreement said the ports sweetened their wage offer from about 50% over six years to 62%. The person didn’t want to be identified because the agreement is tentative. Any wage increase would have to be approved by union members as part of the ratification of a final contract.þþTalks now turn to the automation of ports, which the unions says will lead to fewer jobs, and other sticking points.þþThe settlement pushes the strike and any potential shortages past the November presidential election, eliminating a potential liability for Vice President Kamala Harris, the Democratic nominee. It’s also a big plus for the Biden-Harris administration, which has billed itself as the most union-friendly in American history. Shortages could have driven up prices and reignited inflation.þþIt will take a day or two for the ports to restart machinery and for ships waiting at sea to get to a berth, but even so, consumers aren’t likely to see any shortages because the strike was relatively short, said William Brucher, an assistant professor of labor studies and employment relations at Rutgers University who follows ports.þþ“I think the disruptions are going to be rather minimal and consumers aren’t really going to feel them,” Brucher said.þþSupply chain experts say that for every day of a port strike, it takes four to six days to recover. That means it will take probably about 20 days to recover, said Brucher. But during those 20 days, Longshoremen will be gradually increasing their capacity to handle freight until they hit normal levels.þþThe union went on strike early Tuesday after its contract expired in a dispute over pay and the automation of tasks at 36 ports stretching from Maine to Texas. The strike came at the peak of the holiday season at the ports, which handle about half the cargo from ships coming into and out of the United States.þþMost retailers had stocked up or shipped items early in anticipation of the strike.þþ“With the grace of God, and the goodwill of neighbors, it’s gonna hold,” President Joe Biden told reporters Thursday night after the agreement.þþIn a statement later, Biden applauded both sides “for acting patriotically to reopen our ports and ensure the availability of critical supplies for Hurricane Helene recovery and rebuilding.”þþBiden said that collective bargaining is “critical to building a stronger economy from the middle out and the bottom up.”þþThe union’s membership won’t need to vote on the temporary suspension of the strike. Until Jan. 15, the workers will be covered under the old contract, which expired on Sept. 30.
Source: apnews.com
