Business groups call on Biden to intervene in port strike
Michael Lee Strategy founder Michael Lee explains the impact of the port strikes on the market and the economy and weighs in on the upcoming vice presidential debate.
Leading business groups in the U.S. are calling on President Biden to use his legal authority to intervene in the strike at East and Gulf Coast ports that began Tuesday.
About 45,000 unionized dockworkers with the International Longshoremen's Association (ILA) at 36 seaports on the East and Gulf coasts went on strike on Tuesday after they were unable to reach a deal on a new contract. The union's six-year contract with the U.S. Maritime Alliance (USMX), which represents port employers, expired Monday night. The ILA is seeking 77% pay raises over the course of the new contract as well as protection from automation.
The National Association of Manufacturers (NAM), the U.S. Chamber of Commerce, the National Retail Federation (NRF) and National Association of Wholesale-Distributors (NAW) released statements calling on Biden to invoke a federal labor law known as the Taft-Hartley Act that would restore operations at ports during an 80-day cooling off period while negotiations continue.
«Manufacturers call on President Biden to intervene by invoking the Taft-Hartley Act, which will force ports to resume operations while negotiations continue,» NAM CEO Jay Timmons said in a statement. «There will be dire economic consequences on the manufacturing supply chain if a strike occurs for even a brief period.»
THE TAFT-HARTLEY ACT: WHY BIDEN COULD USE THIS LABOR LAW TO PREEMPT A PORT STRIKE
Dockworkers at East and Gulf Coast ports went on strike Tuesday. (Photo by Jesus Olarte/Anadolu via Getty Images / Getty Images)
«NAM estimates show a strike at the East and Gulf
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