A bit of history...

The West Coast Longshoremen’s Strike?

The West Coast Longshoremen’s Strike took place in July of 1971. It was?among the most expensive and longest-lasting strikes?in US history, continuing straight for 130 days.?

The strike was a direct result of the Pacific Maritime Association (PMA) deciding to automate its cargo operations at several ports, which workers believed would cause job losses and reductions in pay. In response, the International Longshore and Warehouse Union (ILWU) called on longshoremen to stop working.?

Thousands soon joined the protest, causing huge disruptions across the supply chain. In response, President Richard Nixon declared a state of emergency. Although the strike ended in September of that same year, the damage had already been done, and the US suffered millions of dollars in losses.?

Lessons learned?

The West Coast Longshoremen’s Strike revealed the tremendous impact labor disputes can have on supply chains. It only took a few months for the US to experience huge economic and operational challenges. Of course, some of these challenges could have been avoided if the shippers had put contingency plans in place. We can’t go back in time and provide those, but we can certainly institute them going forward.?

The West Coast Port Strike?

The West Coast Port Strike took place during 2002 and once again involved members of the ILWU opposing the PMA. In this case, the PMA had decided to lock out workers following issues with contract negotiations.?

The West Coast Port Strike lasted for 11 days, at which point President George W. Bush invoked the Taft-Hartley Act. This Act required workers to?return to work for 80 days?as they continued negotiations. These negotiations were finalized under a new contract in 2003.?

Unfortunately, although the strike didn’t last long, it overlapped with peak holiday shopping. This meant sizable delays for presents and other festive purchases, as well as additional stress on supply chains as they tried to maintain their operations.?The same issue could potentially arise as a result of today’s ongoing strike.

Lessons learned?

The West Coast Strike resulted in?billions of dollars in losses. It also forced retailers to adjust their routes, alter their delivery schedules, and more generally attempt damage control. Various product types were affected, from high-value electronics to children’s toys. In short, the strike showed how quickly and severely port closures can affect?supply chains during the holidays?and highlighted the importance of being prepared.?

The Los Angeles and Long Beach Port Strike?

The Los Angeles and Long Beach Port Strike occurred in 2015, and it involved two of the world’s busiest ports. Workers were protesting changes in working conditions, such as outsourcing and automation. Like the strikers before them, they were also concerned with job losses.?

Although the strike only lasted a few days, it cost the US billions in losses. It also led to notable disruptions across the supply chain as shipments were forced to alter their routes. This further caused issues for supply chains as they needed to come up with additional funds to pay for changes in transportation.?

The strike ended on February 2015 when the PMA agreed to provide better job security and wage increases. By this point, however, many had begun to view the Los Angeles and Long Beach Ports as unreliable and to more widely question the viability of port shipments.?

Lessons learned?

About 20,000 workers participated in the Los Angeles and Long Beach Port Strike, making it one of the biggest in US history. This number pales in comparison to today’s 45,000+ anticipated participants, which is all the more reason why shippers need to prepare. Furthermore, the strike brought to light the importance of having backup plans, since two of the most used ports were rendered unusable simultaneously.

Credit: https://over-haul.com/port-strikes-what-they-teach-us/