US President Biden is urging for a quick resolution to the dockworkers strike that threatens to drain billions from the US economy. Tens of thousands of dockworkers have continued their strike for a second day, causing shipments at major eastern dockyards to come to a standstill. Containers at 36 ports have piled up, with the workers demanding higher wages and better protections.
The White House is putting pressure on the United States Maritime Alliance (USMX) to engage more with the workers’ demands. Biden criticized the ocean carriers for making huge profits during the pandemic and not fairly compensating the workers. Transportation Secretary Pete Buttigieg called on the port employers to make more concessions to resolve the standoff.
Experts warn that the longer the strike lasts, the more damage it will cause to the economy and the longer it will take for ocean supply chains to recover. While Biden has the authority to order the union members back to work, he has avoided taking such action as he aims to be the most pro-union president in history.
As the standoff continues, Biden has directed his team to watch for potential price gouging by foreign carriers. The market forecaster Oxford Economics projects that the strike could drain between $4.5bn and $7.5bn from the US economy for every week that passes. The president is calling for both sides to come to the table and reach a deal to end the strike and prevent further economic losses.
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