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East Coast port strike called off…for now

Throughout the process, NRF has stressed the vital economic importance of keeping the ports open to international trade and commerce
By Patrick Burnson, Executive Editor
December 28, 2012

News that the International Longshoremen’s Association and United States Maritime Alliance have agreed to extend their contract negotiations for an additional 30 days was welcomed by the National Retail Federation today.

“We welcome today’s news that a contract extension has been reached. However, we continue to urge both parties to remain at the negotiating table until a long-term contract agreement is finalized, said NRF president and CEO Matthew Shay.

“While a contract extension does not provide the level of certainty that retailers and other industries were looking for, it is a much better result than an East and Gulf Coast port strike that would have shut down 14 container ports from Maine to Texas,” he said.

Along with other prominent shippers, Shay noted that a coast-wide port shutdown “is not an option.” It would have severe economic ramifications for the local, national and even global economies and wreak havoc on the supply chain.

“Throughout the process, NRF has stressed the vital economic importance of keeping the ports open to international trade and commerce”

“Throughout the process, NRF has stressed the vital economic importance of keeping the ports open to international trade and commerce,” he said. “Our ports and the cargo and containers that flow through them are truly our economic lifelines to the world.”

Shay said that national media exposure to the issue may have helped:

“Following the devastation of Hurricane Sandy and the recent eight-day port strike in Los Angeles and Long Beach, this extension is a welcomed sign to the entire supply chain community – from manufacturers to retailers – that the two sides understand the risks of a shutdown and are listening to the concerns of the shipping community.”

And while the NRF recognized the work of the Federal Mediation and Conciliation Service for working tirelessly – even through the holiday week – to orchestrate this contract extension, the shipper are encouraging them to continue their work with both parties to help them arrive at a final master contract.

“Only until we have a final contract will retailers and others have the certainty they need,” he said.

About the Author

Patrick Burnson
Executive Editor

Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at .(JavaScript must be enabled to view this email address).

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