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U.S. LABOR SECRETARY WILL MONITOR DOCKWORKER CONTRACT TALKS ‘VERY CLOSELY’

Date: Wednesday, March 30, 2022
Source: Bloomberg

U.S. Labor Secretary Marty Walsh said he’ll be closely watching West Coast
dockworkers’ contract talks in coming months, and is ready to get involved as
needed, amid concerns about potential disruptions that could add to supply-chain
problems fueling inflation.

“I don’t foresee an issue today in the negotiation,” Walsh said in an interview
Tuesday. “I’ll monitor it very closely, because at the end of the day, the last
thing we want to do is see any further disruption. The American people don’t
need disruption.”

A labor contract covering about 22,000 West Coast dockworkers, at sites
including the pivotal Los Angeles and Long Beach ports, expires on July 1. Some
past disputes between the union and management have proved crippling for
shipments to the western seaboard, stoking fears of a repeat just as dockyards
work to clear backlogs of goods.

Walsh, who has recently visited several ports and met with union and company
leaders, said it’s premature to worry about a breakdown in not-yet-started
talks. They will involve the International Longshore and Warehouse Union and the
employer group Pacific Maritime Association.

“I know a lot of people are concerned about it -- and as they should be, because
of all of the challenges over the past couple years with getting ships into the
country and unloading,” he said by phone. “But I’m not that concerned about it
today.” Walsh said that, in his conversations with both sides, “everyone
understands the sense of urgency of keeping the ports moving forward and
bringing products into the United States.”

The 29 ports on the U.S. West Coast are vital links to the global economy,
processing about 44% of all inbound goods and 61% of imports from Asia. In
anticipation of possible labor strife, American importers are already looking at
alternatives to move their goods through the U.S. Gulf and East coasts, causing
bottlenecks at container-shipping hubs like South Carolina’s Port of Charleston.

“I’ll be as involved as they need me to be” in the negotiations, the Labor
secretary said. “A month from now you and I might have a very different
conversation.”

 

[Read from the original source.]


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