More stories

  • in

    Port Strike’s End Is an Economic Relief to Savannah, Ga.

    Viewed through a narrow lens, Savannah is a popular tourist destination with a seemingly aesthetic profile, accentuated by its Revolutionary War history, historic Black churches and colorful Victorian homes surrounded by Spanish moss.For big companies, the city’s primary attraction has been a grittier side that has fueled an economic transformation over the decades: Savannah is the No. 2 ocean cargo complex on the East Coast, home to thriving container terminals that handle millions of tons of freight each year.That economic motor for the city and the region sputtered to a stop this week after thousands of dockworkers represented by the International Longshoremen’s Association, or I.L.A., went on strike from Maine to Texas.Instead of a stream of trucks moving big boxes in and out of the port, a group of around 100 dockworkers stood outside the main gates on Tuesday, intermittently chanting, “No contract, no work,” with traffic reduced to vehicles that drove by honking in solidarity with the striking workers.But after three days, the group representing port operators made a new pay offer, and the union suspended the walkout.On Friday, the Port of Savannah was humming again.Trucks started lining up in front of the gates of the Garden City Terminal before sunrise, and by midmorning, large container ships made their way down the Savannah River, in clear view of the city’s downtown.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

  • in

    Union Agrees to Suspend Port Strike

    The International Longshoremen’s Association received a new wage offer and will halt its walkout at East and Gulf Coast ports, which began Tuesday.The International Longshoremen’s Association agreed on Thursday to suspend a strike that closed down major ports on the East and Gulf Coasts. The move followed an improved wage offer from port employers.The strike, which the dockworkers’ union began on Tuesday, threatened to weigh on the economy five weeks before national elections. Employers, represented by the United States Maritime Alliance, have offered to increase wages by 62 percent over the course of a new six-year contract, according to a person familiar with negotiations who did not want to be identified because the talks were continuing. That increase is lower than what the union had initially asked for, but much higher than the alliance’s earlier offer.In a statement, the union said that it had reached “a tentative agreement on wages” and that its 45,000 members would go back to work, with the current contract extended until Jan. 15. The union said it was returning to the bargaining table “to negotiate all other outstanding issues.” The alliance issued a similar statement.The agreement came after the White House pressed both sides to reach a deal to end the strike, the union’s first full-scale walkout since 1977. The wage increase is a clear victory for the I.L.A. and its combative president, Harold J. Daggett, a 78-year-old, third-generation dockworker who has led the union since 2011.President Biden, when asked about the tentative deal on the tarmac at Joint Base Andrews on Thursday evening, said: “We’ve been working hard on it. With the grace of God, it’s going to hold.”A 62 percent increase would raise the top longshoremen’s wage to just over $63 per hour at the end of a new six-year contract, from today’s $39 per hour. And at $63 an hour, the wages of East and Gulf Coast longshoremen would slightly exceed those that will be earned by West Coast longshoremen, who belong to a different union, at the end of their contract in 2027.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

  • in

    U.S. Faces Economic Turbulence Just as Recession Fears Eased

    War in the Middle East, a strike by port workers and a devastating hurricane injected uncertainty into the U.S. economy.The United States economy is suddenly staring down new and potentially damaging crises, with tensions flaring in the Middle East and several states grappling with fallout from a devastating hurricane.The events hit just as American policymakers were gaining confidence that they had successfully tamed inflation without pushing the economy into a recession and as polls and consumer surveys suggested that Americans’ sour economic mood had begun to improve. But in just a week, new risks have emerged.The economy now faces the prospect of an oil price spike and the aftermath of a storm that could inflict more than $100 billion in damage upon large swaths of the Southeast. Economists have also been tracking potential consequences of a port workers’ strike, which was suspended on Thursday evening.“There’s new uncertainty,” said Joseph E. Gagnon, senior fellow at the Peterson Institute for International Economics. “If we lose oil output in the Middle East, if the ports are not functioning, then both are inflationary.”That uncertainty is arriving just weeks before a presidential election in which the economy — in particular, inflation — is one of the biggest factors on voters’ minds and less than a month after the Federal Reserve began cutting interest rates from more than a two-decade high. The central bank has gained confidence that inflation is coming back to its 2 percent goal, but has been wary about the labor market weakening.Even before the new risks emerged, the International Monetary Fund was projecting that the U.S. economy would slow next year.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

  • in

    Harold Daggett, Port Strike Leader, Seeks Big Raises for Dockworkers

    Harold J. Daggett is seeking big raises for longshoremen on the East and Gulf Coasts who have fallen behind workers on the West Coast.Nearly two decades ago, Harold J. Daggett was accused of being part of the mob’s efforts to control a powerful union, the International Longshoremen’s Association.He was a midlevel official of the union. After a high-profile trial, a jury acquitted him of fraud and extortion conspiracy, and he joined reveling supporters outside the Brooklyn federal courthouse. Motioning toward the building, he asked onlookers, “What doorway do I have to go through to get my reputation back?”Now, after 13 years as the union’s president, Mr. Daggett is seeking a different type of victory.He is leading a strike that began on Tuesday, shutting down most trade at a dozen big ports on the East and Gulf Coasts. The union, whose members move containers and other cargo on and off ships, is demanding much higher wages, improved benefits and limits on labor-saving technology.Mr. Daggett has cast the strike as a battle against large multinational corporations that earned outsize profits during the pandemic-related supply chain chaos. He has asserted that his 47,000 members have the upper hand because their work is essential to the automakers, retailers and other businesses that depend on the ports.“We’re going to win this thing,” Mr. Daggett, 78, said on Tuesday, along with an expletive, as members picketed outside a port terminal in New Jersey. “They can’t survive too long.”Some labor experts say Mr. Daggett is well positioned to get a good deal. “If they stop working, the goods stop moving,” said William Brucher, an assistant professor at the Rutgers School of Management and Labor Relations. “They have real economic power and leverage.”We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

  • in

    Dockworkers’ Strike Halts Commerce at Newark Port, Affecting the Supply Chain Ecosystem

    The strike by longshoremen has halted commerce at Newark and other ports on the East and Gulf Coasts, affecting an ecosystem of supply-chain workers.Every workday, on his early-morning drive to his job overseeing a warehouse in northern New Jersey, Sean Murphy takes in the frenetic scene of the busiest port on the East Coast.Towering cranes lift shipping containers off vessels newly arrived at Newark from points around the globe. Mile-long freight trains pull cargo to and from the docks. Belching trucks clatter down the highway, hauling containers to distribution centers from Maine to Florida.Not on Tuesday. As 45,000 dockworkers began a strike, shutting most of Newark and three dozen other shipping terminals along the Gulf and East Coasts, Mr. Murphy was confronted with the spectacle of a busy industrial hub now largely devoid of activity.Here was a visual encapsulation of the challenge confronting the global economy: cargo marooned, commerce frozen and no clarity on when normalcy will return.“It was eerie, like a ghost town,” Mr. Murphy said. “It was really creepy, if I can be honest with you. It was dead silent. I’ve never seen that in my entire life.”Beyond the atmospherics, the effective shutdown of Newark and other major ports threatens the livelihoods of millions of people who work near the affected docks — and businesses that depend on the flow of exports and imports.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

  • in

    Port Strike Begins on East and Gulf Coasts

    Members of the International Longshoremen’s Association walked out for the first time since 1977 in a standoff over wages, benefits and job security.For the first time in nearly 50 years, longshoremen on the East and Gulf Coasts went on strike Tuesday, a move that will cut off most trade through some of the busiest U.S. ports and could send a chill through the economy.Members of the International Longshoremen’s Association union, which represents roughly 45,000 workers, started setting up pickets after 11th-hour talks failed to avert a work stoppage.“Nothing’s going to move without us — nothing,” said Harold J. Daggett, the president of the union, addressing picketers outside a port terminal in Elizabeth, N.J., in a video posted early Tuesday to a union Facebook account.The United States Maritime Alliance, which represents port employers, declined to comment early Tuesday. The two sides were not able to agree on wage increases, and the use of new technology in the ports was a sticking point for the union.“We think they’re lowballing intentionally,” Leonard Riley, a longshoreman at the Port of Charleston in South Carolina, said on Tuesday. “We are going to be out until we have something to chew on.”Businesses now face a period of uncertainty. Trade experts say that a short strike would cause little lasting damage but that a weekslong stoppage could lead to shortages, higher prices and even layoffs.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

  • in

    How the Port Strike Could Affect the Economy and Certain Products

    Transportation and warehousing sectors are poised to first feel the pinch, with a broader economic fallout expected if the strike drags on.As dockworkers at East and Gulf Coast ports walk off the job, economists are bracing for the strike to reverberate across the American economy.The strike, a result of a monthslong impasse between the union representing roughly 45,000 longshoremen and port operators, began at 12:01 a.m. on Tuesday. It will halt almost all activity at some of the busiest ports in the United States, from Maine to Texas. The International Longshoremen’s Association is pushing for wage increases that exceed those offered by the United States Maritime Alliance, the port operators group.The president of the International Longshoremen’s Association said the workers were “making history” by walking off the job for the first time in nearly 50 years.Bryan Anselm for The New York TimesPresident Biden said on Sunday that he was not planning to invoke the Taft-Hartley Act, a nearly 80-year-old law, to force dockworkers back to work if they strike.A strike could cost the economy $4.5 billion to $7.5 billion, or a 0.1 percent hit to U.S. annualized gross domestic product, every week as truckers and other workers dependent on the ports are furloughed and manufacturers experience delivery delays, according to analysts at Oxford Economics. While those losses would be reversed once the strike was over, it would take a month to clear the backlog for each week of the strike, the analysts estimated.Here’s what else to know about the potential economic fallout of the strike.A strike could cost the economy $4.5 billion to $7.5 billion for every week of the work stoppage.Erin Schaff/The New York TimesWe are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

  • in

    Port Strike on the East and Gulf Coasts: What to Know

    Thousands of dockworkers who load and unload cargo ships could walk off the job on Tuesday, halting nearly all activity at ports from Maine to Texas.Thousands of unionized dockworkers on the East and Gulf Coasts could go on strike as early as Tuesday, stranding cargo and sending ripples through supply chains for consumer goods and manufacturing parts.A contract between the operators of port terminals and the International Longshoremen’s Association, covering workers who load and unload cargo ships at three dozen ports, is set to expire on Monday. Their facilities include massive container ports in New Jersey, Virginia, Georgia and Texas, as well as the Port of Baltimore, a major hub for the import and export of vehicles and heavy machinery.The port operators group, the United States Maritime Alliance, and the union remain at an impasse over wage increases. Federal officials have said President Biden is not planning to invoke a nearly 80-year-old law to force dockworkers back to work if they strike. It would be the first such walkout at all these ports since 1977.Which ports and goods would be affected?Workers at ports from Maine to Texas would walk off the job at 12:01 a.m. Tuesday. These ports handle about half of all goods shipped to the United States in containers. One of them, the Port of New York and New Jersey, is the third busiest in the country.Longshoremen play a crucial role in the movement of cargo. They are responsible for loading and unloading ships, and they secure vessels that arrive and depart from U.S. ports. For the most part, ocean transport to and from these ports can’t happen without them.Cargo that could be affected by the strike includes everyday consumer goods, like bananas, many of which come through a port in Delaware. Just over half of imported apparel, footwear and accessories also come through East Coast ports. Manufacturing parts and cars move through these ports, too.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More