The National Retail Federation is calling on the Biden Administration to take immediate action to end a labor strike that has disrupted operations at all U.S. East and Gulf Coast container ports, warning that the impact could have far-reaching consequences for the American economy.
In a statement released on Oct. 1, NRF President and CEO Matthew Shay urged the White House to use “any and all available authority and tools,” including invoking the Taft-Hartley Act, to get the International Longshoremen’s Association and the United States Maritime Alliance back to the negotiating table after their six-year master contract expired on Sept. 30.
“A disruption of this scale during this pivotal moment in our nation’s economic recovery will have devastating consequences for American workers, their families and local communities,” said Shay. “After more than two years of runaway inflationary pressures and in the midst of recovery from Hurricane Helene, this strike will result in further hardship for American families.”
The strike, which began when the master contract lapsed, has created immediate concerns for the retail industry, which relies on these ports for importing goods. With the holiday season approaching, Shay emphasized that prolonged disruptions could severely impact supply chains, leading to product shortages and increased prices for consumers.
“It is essential that the ILA and USMX immediately resume negotiations with the intention of finalizing a new master contract without further disruptions and put an end to this stalemate,” he added.
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The NRF has been vocal in its calls for action throughout the ongoing labor negotiations. Last month, the group led a letter signed by nearly 200 organizations urging the Biden administration to intervene to prevent a disruption. In June, NRF coordinated a coalition of 158 state and federal trade associations, asking the White House to work with the negotiating parties to secure a new agreement. Earlier this year, NRF also reached out directly to ILA and USMX, calling for a swift resumption of port labor negotiations.
The stakes are high, as the NRF represents a sector that supports more than one in four U.S. jobs and contributes $5.3 trillion to the nation’s annual GDP.