LOS ANGELES, Sept 24 (Reuters) - The Biden administration is not actively seeking to mediate a labor agreement to prevent a strike set to begin on October 1 at major U.S. East and Gulf Coast ports, which are vital for approximately half of the country's ocean imports. An unnamed administration official confirmed that negotiations between the International Longshoremen's Association (ILA) and the United States Maritime Alliance (USMX) have reached an impasse as the contract expiration on September 30 approaches.
A potential strike by 45,000 ILA-represented workers across 36 ports—including New York, New Jersey, Houston, and Savannah—could lead to significant delays and increased costs throughout U.S. supply chains. This disruption comes at a critical time, as rising costs for essential goods like food, housing, and healthcare are central issues in the upcoming November 5 presidential election.
The USMX, which represents container carriers and terminal owners like Maersk, stated on Monday that federal agencies, including the Department of Labor, have reached out to them regarding the negotiations. The administration clarified that involvement in negotiations would require an invitation from both the union and employers.
Furthermore, the Biden administration has indicated that President Biden does not plan to invoke the Taft-Hartley Act to prevent the strike, contrasting with actions taken during last year's West Coast port negotiations, where he appointed Acting Labor Secretary Julie Su to facilitate a deal that resulted in a 32% pay increase for workers.
Reporting by Lisa Baertlein in Los Angeles. Editing by Alistair Bell.