Dockworkers across the US go on strike; work stoppage threatens nation's supply chain

Updated 2 minutes ago
ELIZABETH, New Jersey (WABC) -- Dockworkers at ports in New Jersey and New York walked off the picket lines at midnight and are now on strike -- cutting goods from flowing through the busiest East Coast ports with no resolution in sight.

They walked off the job at ports from Staten Island to Bayonne and Newark and all down the East Coast.

"Moments ago, the first large-scale eastern dockworker strike in 47 years began at ports from Maine to Texas, including at the Port Authority of New York and New Jersey," New York Gov. Kathy Hochul said in a statement Tuesday.

"In preparation for this moment, New York has been working around the clock to ensure that our grocery stores and medical facilities have the essential products they need," Hochul added.

But it's not just the East Coast -- dockworkers at 36 ports from Maine to Texas hit picket lines early Tuesday, the first strike for them in decades, over wages and automation even though progress had been reported in contract talks.



The strike could have devastating impacts on the shipping industry, including shortages and driving up the cost of goods.

The International Longshoreman Association says it is willing to stand on the picket lines for as long as it takes until a new deal is struck with the United States Maritime Alliance. The two sides have not met since June and there are currently no plans in place for them to discuss options.

The 45,000 striking workers are demanding a "fair contract," which includes a 77% wage increase over six years. They're also looking for a total ban on automated equipment like cranes and gates, as well as better health coverage. The USMA offered just a 40% pay bump.

Those port workers are responsible for 35% of all U.S. imports.

If a new deal isn't struck, the strike could mean delays in delivering goods like cars, fresh fruit and electronics. An extended strike could cost the U.S. economy billions of dollars daily.



"Automation over our nation's ports should be a concern for everyone. The truth is, robots do not pay taxes, they do not spend money in their communities. The ILA will continue to fight until its members receive the contract they deserve," Daniel May, port worker, said in a statement.



Meanwhile, 35 ships are expected to arrive in the New York City area with goods, however, those vessels will drop their anchors and halt deliveries until the two sides agree on new terms.

In anticipation of a potential disruption to the medical products supply chain, the New York State Department of Health has communicated with hospitals and nursing homes across New York State and reminded them of the requirement to maintain a 60-day stockpile of personal protective equipment and other critical goods.

Division of Homeland Security and Emergency Services has all state stockpiles prepared to deploy any available resources including generators in the event they are needed.



President Joe Biden retains the power to prevent or halt a strike under the 1947 Taft-Hartley Act. The U.S. Chamber of Commerce sent a letter to Biden on Monday urging the White House to intervene, which it has previously said it will not do. The White House told ABC News in a statement that it has been in contact with both the union and management in recent days.

"This weekend, senior officials have been in touch with USMX representatives urging them to come to a fair agreement fairly and quickly - one that reflects the success of the companies. Senior officials have also been in touch with the ILA to deliver the same message," White House spokesperson Robyn Patterson said.

(ABC News and the Associated Press contributed to this report.)

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