Over 175 Trade Groups Want Biden to Compel Parties to Negotiate Port Labor Contract

The National Customs Brokers & Forwarders Association of America, along with more than 175 trade organizations, have asked President Joe Biden to urge the United States Maritime Alliance and the International Longshoremen’s Association to resume negotiations for a new labor agreement before Oct. 1, the date that ILA members might go on strike at container terminals at East Coast and Gulf Coast ports.

The current labor agreement expires on Sept. 30 (see 2409120046). The NCBFAA noted that the last time that ILA went on strike at East and Gulf ports was 1977.

"With two weeks left until the ILA-USMX contract expires and the ongoing threat of a coastwide strike beginning on October 1, it is imperative that the administration engage with the parties to quickly negotiate a new deal or agree to continue negotiations while keeping the ports open and cargo flowing," the Sept. 17 letter said. "A strike at this point in time would have a devastating impact on the economy, especially as inflation is on the downward trend."

Should both parties be unable to reach an agreement by Oct. 1, prompting ILA members to go on strike, the Biden administration needs to "be ready to step in if a strike or other action occurs that leads to a coastwide shutdown or disruption," it said.

"At this critical juncture, it is imperative that the parties return to the table without engaging in disruptive activities that could harm the economy and the millions of businesses, workers and consumers who rely on the seamless flow of goods, both imports and exports, through our East Coast and Gulf Coast ports," the groups said in the letter.

Other trade associations signing the letter include the Agriculture Transportation Coalition - AgTC, the Airforwarders Association, the American Apparel and Footwear Association, the Coalition of New England Companies for Trade, the Halloween & Costume Association, the National Grain and Feed Association, the National Retail Federation, and numerous state and regional trade associations.

The letter praised the administration for its earlier work to resolve differences between labor unions and employers, such as the International Longshore and Warehouse Union (ILWU) and Pacific Maritime Association (PMA) on the West Coast, Class I railroads and their unions, and UPS and the Teamsters. “While there was an ongoing threat of disruptions during these negotiations, the administration helped to ensure the parties remained at the negotiating table to achieve a final contract. All without a major disruption to the supply chain,” the letter said.

If a strike should occur on Oct. 1, the trade organizations asked the Biden administration to “immediately work with both parties to resume contract negotiations and ensure there is no disruption to port operations and cargo fluidity if a new contract is not reached by the expiration date.”