US industry groups seek early engagement from White House in west coast port labour contract negotiations
Industry leaders representing 49 associations sent a letter to the White House on March 1, imploring “early and persistent engagement in the impending contract negotiations between the Pacific Maritime Association (PMA) and the International Longshore and Warehouse Union (ILWU).”
They note that, “though negotiations have yet to begin ahead of the contract’s July 1st expiration, the uncertainty is already affecting operations on the ground. Importers and exporters wary of further disruption are already adjusting freight strategies to avoid or mitigate potential impacts.”
Among the associations that signed the letter is the Retail Industry Leaders Association. Brian Dodge, president of RILA, said that “allowing a work slowdown or a shutdown to impact operations would amount to a self-inflicted wound, compounding congestion and leading to even higher costs on everyday products for consumers.”
Steve Lamar, president and CEO of the American Apparel & Footwear Association, cited a statistic included in the letter: ““Previous labor disputes at the ports cost the US economy upwards of $1bn to $2bn per day,” he said. “To say the stakes are even higher today is an extreme understatement, as even a short slowdown or shutdown will disrupt already fragile supply chains and compound inflationary pressure.”
The associations support Biden administration efforts “to encourage and, if necessary, convene the parties to facilitate negotiations.”
