ILA Strike Watch 2012: What can We Learn from the 1962 ILA Strike?

 In freight rates, ILA Strike, International Shipping

ILA Strike Watch 2012

If we look to the past we can learn many things.  Most specifically, we can learn what is causing theInternational Longshoremen’s Association (ILA) to threaten strike here in 2012.

Back in the 1960’s the ILA fought to have their contracts ammended to include wording to protect workers from losing their jobs to “automated machines”.

In 1962, International Longshoremen’s Association (ILA) went on strike.

Here’s an excerpt form the below video of news coverage of the 1962 ILA Strike:

“…A ghostly stillness embalms The World’s busiest port as 75,000 Longshoremen strike New York’s waterfront and all other Sea Ports on the Atlantic and Gulf Coast.  Over 70 vessels lie idle with unloaded cargoes here with dozens of others similiarly tied up beside piers from Boston to Houston…As goods pile up railroads place an embargo on deliveries to the struck cities less the storing facilities become hopeless choked.  The Hartley Act was invoked..”

What can we learn from this past 1962 ILA Strike?

  1. Once the ILA Strike takes place, cargoes will remain unloaded and vessels will lie idle.
  2. Railroads may begin denying cargoes to the struck cities (i.e. New York, Boston, Houston, etc…) when the ILA Strike begins.
  3. President Obama may enact “The Hartley Act

What does these learnings show us about the pending 2012 ILA Strike? 

  1. Any cargoes on water now that will arrive on or after the ILA Strike day, tentatively set as October 1st, 2012, will not be unloaded and thus, not delivered.
  2. Any cargoes being routed through the West Coast to the East Coast may not make it all the way to the Port Cities who are on strike.  Or any new cargoes trying to be routed with this method via rail may be denied.
  3. If “The Hartley Act” is put into affect by President Obama, much like when JFK enacted it in 1962, then the strike will be suspended and ended under the thought that it is detrimental to American Commerce.

Please comment below and let us know your answer!
Taking into consideration of what you know about the current 2012 ILA Strike, what you now know about the past 1962 ILA Strike, and what you know about the current President, Barack Obama, what do you think will happen come October 1st?
Please comment below and let us know your answer!


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