US Dockworkers End Strike
Some 45K US dockworkers have ended their three-day strike after the International Longshoremen's Association (ILA) and the US Maritime Alliance (USMX) reached a deal on Thursday....
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Facts
- Some 45K US dockworkers have ended their three-day strike after the International Longshoremen's Association (ILA) and the US Maritime Alliance (USMX) reached a deal on Thursday.[1]
- While the ILA wanted a 77% wage increase over six years, and USMX offered a nearly 50% hike, the two sides reportedly agreed to a 62% pay raise, increasing the average hourly port worker wage from $39 to $63 over that period.[2][3]
- The two sides will continue to negotiate the issue of automation, which the workers fear threatens their jobs, before the current contract extension ends on Jan. 15. If the other issues aren't solved over the next 90 days, the pay raise will be retracted.[4][5]
- Pres. Joe Biden, who decided not to impose the Taft-Hartley Act to force workers to continue working for 80 days, applauded the deal. The strike, which was estimated to cost the economy up to $4.5B per day, comes just weeks ahead of the US election.[6][7]
- ILA Pres. Harold Daggett, whose union has donated $1.6M to Democrats under his leadership, had threatened to 'cripple' the economy if an agreement couldn't be made.[7]
- Economists say the strike wouldn't have affected the economy immediately due to increased shipping in recent months but that it would've eventually caused increased food prices. Food companies had stocked up in preparation for a potential strike.[1][7]
Sources: [1]France 24, [2]BBC News, [3]Wsj, [4]Guardian, [5]FOX News, [6]Associated Press and [7]Daily Wire.
Narratives
- Narrative A, as provided by Wsj. The US dockworkers' strike exposed the ugly underbelly of union monopolies. It threatened to paralyze trade and harm countless lower-paid workers across industries, demonstrating how unchecked union power can lead to extortion-like tactics, ultimately hurting the very workers that the unions claim to protect.
- Narrative B, as provided by Washington Post. Don't let Thursday's tentative agreement lull you into believing US port problems are solved. The issue at the heart of the dispute, automation, remains heavily salient. It is an existential threat to well-paid workers and the strike was merely the opening salvo — this agreement merely bought the country some time.
