Port of New York/New Jersey Prepares for Potential First Union Strike Since 1977

The Port of New York and New Jersey, the largest on the US East Coast, is bracing for a potential complete work stoppage by the International Longshoreman’s Association (ILA), which could begin on October 1.

This would be the first such strike in over four decades. The ILA, representing more than 85,000 longshoremen, has voted to authorize a strike as negotiations with port owners have stalled. The strike threatens to halt operations at 36 ports along the East and Gulf Coasts, potentially impacting five of the ten busiest ports in North America.

The strike looms as the ILA and the United States Maritime Alliance, which represents port management, remain at odds, primarily over wages and automation. While negotiations have broken down, the Biden administration has declined to invoke the Taft-Hartley Act to prevent the strike, encouraging both parties to return to the bargaining table.

Beth Rooney, Port Director of the Port Authority of New York and New Jersey, confirmed that preparations are underway to manage cargo flow in the event of a strike. Ocean carriers and terminal operators are already scaling back operations to avoid a backlog of containers. Cargo ships currently en route to US East and Gulf ports are carrying an estimated $34.3 billion in goods, with some ships expected to wait offshore or slow their progress if the strike begins.

With input from CNBC, Supplychain Dive, and gCaptain.