The contract between the International Longshoremen’s Association (ILA) and the United States Maritime Alliance, is set to expire on September 30.
The ILA is threatening a strike if a new contract is not reached by then. The National Retail federation (NRF) said last week renewed its call for both sides to come to an agreement before the contract expires.
The NRF says the timing of a potential strike is bad as Florida container ports are expected to see another busy month in September. “A disruption would significantly impact retailers, consumers and the economy,” said NRF President and CEO Matthew Shay.
NRF also says a strike would be damaging for the economy as retailers start preparing for the all-important holiday season. “We need every port in the country working at full capacity,” said NRF Vice President for Supply Chain and Customs Policy Jonathan Gold.
Global Port Tracker says the usage of container numbers are up over last year. But Gold said if a strike occurs, retailers are preparing to bring cargo in early and shift it to alternate ports as a precaution.
“These groups need to sit down at the negotiating table and bargain in good faith for a new contract so we can avoid a disruption of any kind when their contract expires. A strike would be another blow to the supply chain as it continues to face challenges, and to the nation’s economy,” said the NRF.
The International Longshoremen’s Association represents around 70,000 dockworkers and the United States Maritime Alliance represents workers at 36 coastal ports.
Reports on the negotiations have described there are big gaps between the two sides, primarily on pay increases. The ILA says if no agreement has been met, they plan to strike by October 1st.
If a strike happens, Global Port Tracker says it will affect the ports on the East Coast such as Charleston, Savannah and will impact Florida’s ports at Port Everglades, Miami and Jacksonville.
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