Thousands of dock workers walked off the job in protest of the government's refusal to weigh in on longshoremen's negotiations with their seafaring corporations on Tuesday morning in a major blow to the current administration and an already underperforming economy.
The historic strike brings much of the eastern seaboard's ports to a standstill, threatening an unsteady but recovering economy and throwing the electoral chances of Vice President Kamala Harris into doubt. Prices on goods from housing materials to Halloween decorations and Christmas gifts are expected to rise, giving Americans heartburn just weeks before they decide whether the Democrat has what it takes to bring down consumer prices. Recent polls have already shown voters giving former President Donald Trump an edge when asked who they trust most to grow the economy.
(FREE RED HAT: "Impeached. Arrested. Convicted. Shot. Still Standing")
Politicians scrambled to address the walkout. New York Governor Kathy Hochul, who oversees some of the top 10 busiest eastern ports, said in a statement to ABC News, "Moments ago, the first large-scale eastern dockworker strike in 47 years began at ports from Maine to Texas, including at the Port Authority of New York and New Jersey. In preparation for this moment, New York has been working around the clock to ensure that our grocery stores and medical facilities have the essential products they need."
"We are prepared to fight as long as necessary, to stay out on strike for whatever period of time it takes, to get the wages and protections against automation our ILA members deserve," ILA President Harold Daggett said in a countervailing statement.
Experts warned that prolonged disruptions could quickly cause positive economic news from recent rate cuts to dissipate. "A strike would be very, very disruptive," said Jason Miller, a professor of supply-chain management at Michigan State University who closely tracks imports, told ABC News. "You can't take all this freight and either send it to other ports or put it on airplanes," Miller added. "There is no plan B."
As part of negotiations, the longshoremen's union is seeking higher wages and greater on-the-job protections. Negotiations continue with the U.S. Maritime Alliance, the organization representing port employers.
Complicating matters is the power of President Joe Biden to halt the strike under executive authority granted to him by the 1947 Taft-Hartley Act. The U.S. Chamber of Commerce implored Biden in a letter Tuesday to flex his muscles and intervene, a request the White House rebuffed. A White House spokesperson said President Biden is working to bring both groups back to the bargaining table.
"This weekend, senior officials have been in touch with USMX representatives urging them to come to a fair agreement fairly and quickly - one that reflects the success of the companies. Senior officials have also been in touch with the ILA to deliver the same message," White House spokesperson Robyn Patterson said.
Adam Kamins, a senior director of economic research at Moody's Analytics, suggested that modest increases on everything from groceries to home goods can be expected. They would come at a deeply inconvenient time for Vice President Harris, who still must contend with a national inflation rate that is above the 2% target preferred by the Federal Reserve and Chairman Jerome Powell. "We're not talking about prices skyrocketing by any means, but I think it halts the momentum we've had over the last year or so getting inflation back in the bottle," he said.
(VOTE: Are You Supporting TRUMP Or KAMALA In November?)
