A looming dock worker strike could throw the economy — and the presidential election — into chaos, an October surprise that would likely hurt Democrats.
The International Longshoremen’s Association, which represents about 85,000 dock workers nationwide, is threatening to strike on October 1 if the union cannot reach an agreement with port ownership. Negotiations broke down in June between the union and the United States Maritime Alliance, which represents port management. The two sides are in a stalemate over both wages and the automation of port operations.
A strike would shut down five of North America’s 10 busiest ports, 36 ports total along the East and Gulf Coasts, and cause massive supply chain issues — which, depending on how long the strike lasts, could impact consumers past Election Day and well into the holiday season. If the supply chain is upended like this causing scarcities, we are also likely to see another nasty bout of inflation just as families are trying to recover from the nearly 20% spike in prices since before the pandemic.
The Biden administration has the power to stop strikes that could threaten national security or severely impact the economy. But the White House has said it will not intervene in a dock worker strike, and is encouraging the two sides to get back to the negotiating table.
The global economic turmoil wrought by a strike of this size cannot be overstated.
The ports that would be affected move nearly half of all U.S. imports, and billions of dollars in trade each month. The ripple effects on supply chains in Europe, Asia, and Latin America would also be significant.