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Kent Nishimura/Mark Felix/Getty Images
- President Joe Biden has called on port companies to provide fair contracts to the 45,000 dockworkers currently on strike.
- Transportation Secretary Pete Buttigieg cautioned against exploiting the situation for profit.
- Biden and Acting Labor Secretary Julie Su encouraged both dockworkers and port operators to resume negotiations.
Biden Administration Advocates for Fair Contracts Amid Dockworker Strike
The Biden administration is actively urging port companies to negotiate better contracts with approximately 45,000 dockworkers who are striking at East and Gulf Coast ports. This intervention comes in light of significant economic implications resulting from the closure of 36 ports, which analysts at JPMorgan estimate could cost the economy around $5 billion daily.
The administration’s message is unequivocal: it is imperative that companies present a fair offer to these workers without delay. In a recent post on X (formerly Twitter), President Biden emphasized that ocean carrier firms should provide “a strong and fair contract,” acknowledging the contributions of workers during the pandemic as well as their role in generating record profits for these corporations.
Biden also highlighted ongoing monitoring efforts aimed at preventing price gouging by foreign shipping lines. “No company should exploit this situation for profit,” he stated firmly.
Government Officials Call for Ethical Practices
Transportation Secretary Pete Buttigieg echoed this sentiment by warning businesses against taking advantage of the strike. He urged them to eliminate any surcharges that could unfairly impact consumers or other businesses in a statement released Tuesday. “Exploiting disruptions for profit is unacceptable, especially when entire regions are still recovering from Hurricane Helene,” Buttigieg remarked.
The Federal Maritime Commission has been assigned with ensuring that all fees imposed during this period are legitimate and lawful. In an Instagram post earlier this week, Buttigieg revealed his ongoing discussions with supply chain partners over several months, urging all parties involved to reach an agreement swiftly and fairly.
Encouragements from Labor Officials
Acting Labor Secretary Julie Su has also engaged with both dockworkers and port operators, advocating for a return to negotiations aimed at achieving a just contract. She pointed out that workers’ sacrifices during the pandemic—and their vital role in aiding communities affected by Hurricane Helene—are not adequately reflected in their current wages. “As corporations enjoy record profits, it’s only right that their employees share in this economic success,” Su stated via her X account on Wednesday.
Status of Negotiations
The negotiation process had shown minimal progress until just before strikes commenced; however, reports indicate that US Maritime Alliance proposed a wage increase of 50% over six years. The International Longshoremen’s Association initially expressed some willingness towards accepting an increase but later reaffirmed its demand for a more substantial raise of 77% over six years according to Associated Press reports published Wednesday.
Despite pressure from retailers and manufacturers advocating federal intervention using powers under the Taft-Hartley Act—which would allow government action against strikes—Biden has refrained from such measures thus far. He reiterated his commitment to collective bargaining while calling upon USMX representatives to negotiate improved terms for dockworkers during his Tuesday address.
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