The NRF called for negotiations to be continued after the International Longshoremen’s Association walked away from negotiations to replace the contract which expires on September 30.
Matthew Shay, president and chief executive of the NRF, said: “Now that there is a real risk of disruption, most retailers using the East and Gulf Coast ports will be forced to executive contingency plans within the next week to meet in-store holiday deadlines. These plans carry great expense but they are necessary to avoid disruptions that will add costly delays to our members’ supply chains.”
Without a contract, shippers could be driven away from the East and Gulf ports could in the same way that a 2002 West Coast ports lockout caused shipping to shift in their favour.
Mr Shay added: “Having a secure, long term longshore labour contract in place is critical to ensure that the East and Gulf Coast ports continue to benefit from growing labour volumes. Without such certainty, retailers and others will surely re-evaluate their supply chains and the short-term and long-term reliance on these ports.”
