The International Longshoremen’s Association (ILA), representing about 45,000 U.S. dockworkers, has entered the second day of a major strike that is blocking shipments at ports from Maine to Texas. The strike began early Tuesday after contract negotiations over wages and automation collapsed. The ILA and the United States Maritime Alliance (USMX) failed to reach an agreement before the contract expired on September 30. The strike is estimated to cost the U.S. economy between $4.5 to $7.5 billion per week, according to analysts at Oxford Economics. The strike could also disrupt the U.S. toy industry, which contributes $157.5 billion to the economy, by preventing critical holiday shipments from reaching shelves in time, warned Greg Ahearn, president & CEO of The Toy Association. The ILA is asking for a 77 percent wage increase over six years, while the USMX has offered a nearly 50 percent wage increase, tripled employer contributions to retirement plans, improved healthcare options, and maintaining the current terms on automation. The Biden administration has been in contact with both the ILA and USMX, urging them to come to a fair agreement as soon as possible. The strike is affecting work at 14 ports, including Baltimore; Boston; Charleston, South Carolina; Jacksonville, Florida; Miami; Houston; Mobile, Alabama; New Orleans; New York/New Jersey; Norfolk, Virginia; Philadelphia; Savannah, Georgia; Tampa, Florida; and Wilmington, Delaware. The last time East Coast and Gulf Coast workers went on strike was in 1977, and the work stoppage lasted seven weeks.
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