Agreement Ends Dockworkers' Strike: A Look at the Impact

The agreement between the International Longshoremen's Association (ILA) and the US Maritime Alliance ends the three-day strike by US dockworkers. The United States Secretary of Transportation, Pete Buttigieg, discusses the results of this development with Yahoo Finance. Buttigieg explains that the short duration of the strike will have hardly noticeable effects for most consumers. However, clearing the backlog at the ports will require "more than just a day's work." "Given the relatively short duration of the strike, we expect the economic impact on the country to remain manageable. However, for the workers, the economic significance is enormous," Buttigieg stated in an interview with Yahoo Finance, praising the "well-deserved wage increases" in the new tentative agreement. Addressing wage disparities, Buttigieg highlights that in the last decade, the profits of shipping companies have increased by 350%, while average wages in the USA have risen by 42%. In comparison, dockworker wages have only increased by 15%. "This is another investment to keep the supply chains moving," he explains. Buttigieg emphasizes that these benefits are "long overdue" and refers to "decades of growing inequality" between companies and employees. "The reality is that we are seeing tremendous growth, immense profits, and significant wage increases for workers. These things should go hand in hand, and that is exactly what we are witnessing right now," he expresses.