A strike by dockworkers at 36 East and Gulf Coast ports could lead to higher prices and shortages if it continues for more than a few weeks. The strike began early Tuesday over wages and automation, even though progress had been reported in contract talks.
The union, striking for the first time since 1977, is demanding a 77% pay raise over six years, while the shipping companies are offering 50%. The union also wants a complete ban on automation.
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If the strike is drawn out, it could lead to delays in goods reaching households and businesses, potentially impacting the delivery of anything from toys and Christmas trees to cars, coffee, and fruit. The strike will likely have an almost immediate impact on supplies of perishable imports like bananas.
Retailers, auto parts suppliers, and produce importers had hoped for a settlement or that President Joe Biden would intervene and end the strike. But Biden has said he does not plan to intervene. Sources and related content.
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