Letter from the Editor

By Mark Szakonyi

Invoking Taft-Hartley would send a damaging message to organized transportation labor already tilting away from its conventional Democratic support .

It ’ s hard to exaggerate how politically toxic the invocation of the Taft-Hartley Act by the Biden administration to stop a potential strike by the International Longshoremen ’ s Association ( ILA ) would be to the Harris presidential campaign . That will no doubt temper the White House ’ s response if the ILA follows through with its Oct . 1 strike threat .

Organized labor reviles the law that would allow the federal government to shut down a strike at US East and Gulf coast ports , and for good reason . After the busiest period of strikes in US history , involving workers from coal miners to Hollywood stagehands , Congress in 1947 overrode President Harry Truman ’ s veto to pass the Labor Management Relations Act , delivering a sharp rebuke to workers from big business .

Named after its Republican co-authors , Taft-Hartley underpins modern labor relations , including prohibitions on wildcat strikes and secondary boycotts . Given that some states have begun early voting , invoking the act would send a damaging message to organized transportation labor already tilting away from its conventional Democratic support . The ILA endorsed Biden in 2020 , but the union hasn ’ t yet backed either Kamala Harris or Donald Trump . Last November , ILA President Harold Daggett said he had a productive 90-minute meeting with Trump , where the union leader stressed “ the threat of automation to American workers .”

The invoking of Taft-Hartley by the Biden administration also could spark criticism of Democrats protecting foreign-owned container lines at the expense of blue-collar workers . The importance of that narrative can be seen in how Harris , Biden and Trump decried the takeover of Pennsylvania-based US Steel by Japan ’ s Nippon Steel Corp ., rather than risk losing votes in the critical swing state .

Stewarding the economy

Yet , the Biden administration may have no choice but to invoke the executive bane on the ILA , given there ’ s scant hope for a breakthrough in the months-long stalemate with the US Maritime Alliance ( USMX ). The alternative of cutting off some $ 588 billion in annual trade flowing through US East and Gulf coast ports for more than a single day , however , looks even more politically damaging . The Biden administration — and by extension the Harris campaign — doesn ’ t want to be seen as weak on economic stewardship .

Republicans are ready to pounce on any perceived weakness . In a Sept . 20 letter to Biden urging him to prevent an economic fallout from a strike , House Republicans criticized federal officials ’ “ lack of engagement ” in the negotiations between the ILA and employers , as represented by the USMX . Compared with the last two bargaining cycles involving US West Coast longshore labor , there has been less outreach from the White House amid ILA-USMX negotiations , two people familiar with US longshore negotiations told the Journal of Commerce .

The calculations for the Biden administration are made even more difficult because of new signs of faltering support among transportation unions . Last week , the Teamsters , which endorsed Biden in 2020 , declined to formally back either Trump or Harris .

Trump , whose Republican convention in July hosted Teamsters chief Sean O ’ Brien — a first for the GOP — unsurprisingly proclaimed the lack of any endorsement a win for his campaign . Teamsters support for Democrats has eroded significantly in just four years . According to a Teamsters phone polling of its members , workers favored Trump over Harris by more than two to one . Many Teamsters locals and the union ’ s national Black caucus , however , have endorsed Harris .

Despite his boast of being the most prounion president in modern times , Biden last year angered rail unions who were seeking 15 days of paid sick day leave but received just four in the contract that was ultimately forced upon them by Congress .

The last time Taft-Hartley was invoked was in 2002 , when President George W . Bush ended an 11-day lockout at West Coast ports . The economy was slowing then , too , but Bush didn ’ t have the same political consideration to maintain union support .

In the meantime , the importance of trade to the US economy has only grown . In 2002 , the ratio of the share of US trade to GDP was 22.9 %, according to the Bureau of Economic Analysis . Last year , it was 27.6 %.

The bureau won ’ t publish fourth quarter GDP readings until late January , well after the election . So much for small favors .

email : mark . szakonyi @ spglobal . com

4 Journal of Commerce | October 7 , 2024 www . joc . com