The Port of Mobile is one of 36 nationwide ports where workers are striking to ask for better wages without automation.
The International Longshoremen’s Association (ILA) members are in a standoff with the U.S. Maritime Alliance, which represents the ports. They started the strike and picket lines at midnight.
Alabama Port Authority director and CEO John Driscoll said strikes should remain localized to the terminal impacted. His concern is keeping all other terminals running smoothly.
“The Port of Mobile is both a landlord and operating port with diverse cargo handling capabilities, from steel and coal to general cargo and containers,” said Driscoll. “If a work stoppage occurs, impacts should be localized to the container terminal, which is operated by APM Terminals. We are working to minimize potential disruptions and ensure the fluidity of cargo movement in other areas of the Port.”
Governor Kay Ivey told 1819 News ILA is holding the economy hostage at an already vulnerable time.
“Alabamians want to work and provide for their families, but, once again, big labor is exploiting them," Ivey said. "If the ILA was genuinely fighting for their workers, they would be at the table negotiating for them."
"Instead, at a time when families across the country are struggling to afford the rising cost of goods and as several Southeastern states are reeling from a devastating hurricane, the ILA is showing their true colors," she said. "They have chosen to hold hostage our economy, American consumers and its own workers they claim to support."
Mobile Chamber president and CEO Bradley Byrne said the port would need six days to catch up for every day of the strike.
“It's going to have a significant economic impact in Mobile, but it is also going to have a significant economic impact nationwide,” he said.
Goods from international sources could take much longer for businesses such as Walmart, Home Depot and furniture stores.
“It's really going to impact an awful lot of the consumers in America right before Christmas,” Byrne added. “
An estimated 900 of the 85,000 ILA members nationwide work in Mobile, with 200-300 on-site daily.
Failed contract negotiations could delay deliveries and threaten the economy. The union wants a 77% pay raise over the six-year life of the contract. Although many ILA workers' base salary is $81,000, they often make over $200,000 due to overtime. The Alliance has offered a 50% pay raise and has agreed to keep the existing limits on automation.
ILA president Harold Daggett specifically said using an autonomous gate at the APMT Mobile terminal is an example of companies replacing humans with technology. The terminal opened 16 years ago, and the Port Authority said there has been no change to gate technology since.
The Alliance and ILA have yet to hold formal negotiations since June.
“The Port has longstanding and historically good relationships with union labor, whose work is critical to the Port’s ability to deliver for Alabama and the entire U.S.,” Driscoll said. “At the end of the day, a strike isn’t good for anyone, and we hope to see the ILA come back to the table for productive conversations soon.”
President Joe Biden can act under the 1947 Taft-Hartley Act, seeking a court order for an 80-day cooling-off period. Byrne believes that could be the answer because union demands seem “unreasonable.”
“It's not like they go back to work and there's no negotiation,” Byrne said of the Act. “Presidents have used it 37 times, Democrats and Republicans. It works. Sometimes the president gets involved or people that work for him gets involved, try to get the sides to come together.”
U.S. Rep. Jerry Carl told 1819 News consumers are paying the cost of the Biden-Harris administration.
“Every day this strike lasts is costing hardworking Americans billions of dollars, while threatening the delivery of basic goods," said Carl. "The Biden-Harris Admin could (and should) end this strike quickly by invoking the Taft-Hartley Act to force all the parties back to the negotiating table so we can prevent further harm to our struggling economy.”
“And who will end up with the brunt of the cost?" Ivey added. "Hardworking Americans. No matter how this ends, we can remember no Administration has done more to inflate prices than the Biden-Harris Administration.”
Mobile’s port is the fastest-growing container terminal in the United States.
The Port is completing a widening and deepening process to accommodate larger container ships. Byrne said the strike undermines the efforts to increase capacity.
“If we're not getting containers in other countries, then the fact that we deepen our ship channel won't mean anything,” he said. “Now, I certainly hope we have this thing resolved before March when we deepen and widen, but it's so up in the air right now.”
Worldwide, experts say the U.S. terminals are less automated, making costs for the consumer higher.
Other ports affected by the strike are Baltimore, Maryland; Brunswick, Georgia; Philadelphia, Pennsylvania; New Orleans, Louisiana; Boston, Massachusetts; New York/New Jersey; Norfolk, Virginia; Wilmington, North Carolina; Charleston, South Carolina; Savannah, Georgia; Tampa, Florida; and Houston, Texas.
To connect with the author of this story or to comment, email erica.thomas@1819news.com.
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