White House Should Push for Extension of Current Port Labor Contract, Trade Groups Say

The Biden administration should urge West Coast ports and their dockworkers’ union to extend their current contract until a new one is reached, more than 150 trade groups said in a July 1 letter to the White House. The administration also should make sure both parties “agree to not engage in any kind of activity that leads to further disruption at the ports.”

Although the International Longshore and Warehouse Union and the Pacific Maritime Association agreed to continue to move cargo and avoid a strike or lockout despite the July 1 expiration of the current contract (see 2111240052), an “immediate extension” of the contract will “provide assurance” to companies that depend on the U.S. supply chain, the letter said.

“We know that there are significant issues for both parties that need to be worked out during this contract negotiation. The only way to resolve these issues is for the parties to remain at the bargaining table and negotiate in good faith,” said the letter, signed by the National Retail Federation, the Pacific Coast Council of Customs Brokers and Freight Forwarders Association, the National Cotton Council and others. “Extending the current contract would provide additional certainty to all of the supply chain stakeholders that rely on the U.S. West Coast ports.”

The groups said they expect cargo flows to remain at “all-time highs” and cause port challenges for at least the rest of the year. “We encourage the administration to provide any and all support to the parties to reach a final conclusion of their negotiations,” the letter said. The White House didn’t comment.