Sen. Bernie Sanders (I-Vt.), on Thursday, praised the 50,000 port workers who successfully secured a significant wage increase following their strike against the shipping industry’s “outrageous corporate greed.”
What Happened: The Vermont senator attached a statement in solidarity with port workers in his post on X. He said, “Billionaires in the shipping industry must not be allowed to get even richer by replacing port workers with robots.”
In his statement, he praised the workers for putting their “lives on the line” during the COVID-19 pandemic and keeping the economy going. He noted that the shipping industry saw its profits skyrocket by as much as 800 percent and has made a record-breaking $400 billion in profits since 2020.
He noted that over the past 20 years, average wages for port workers along the East Coast have declined by nearly 12% after adjusting for inflation. He said the strike was not only about wages but it was also about making sure that the CEOs and billionaire class are not able to use the “incredible advancements” in new technology, automation and AI as a tool to impoverish the working class.
“Workers must benefit from the revolution in new technology, not just the one percent.”
Sanders also praised Acting Secretary of Labor Julie Su who the senator said did a “great job negotiating a tentative agreement to increase the wages of port workers by 62% over six years.”
Why It Matters: The port workers’ strike on the East and Gulf coasts came to an end after a tentative agreement was reached between the dockworkers and port operators, according to a prior Benzinga report.
This resolution averted a potential disruption to supply chains. The agreement, which includes a substantial wage increase and improved working conditions, addressed the key demands of the International Longshoremen’s Association.
The Wall Street Journal reported a 62% increase in wages over six years. The contract extension through January 15, 2025, allows for further negotiations on other issues, including dock automation.
The strike’s resolution was met with approval from President Joe Biden, who has been a vocal supporter of the striking workers.
The International Longshoremen’s Association revealed that the U.S. Maritime Alliance, a group of companies operating East and Gulf Coast ports, agreed to a pay rise for port workers. As a result, union members are set to return to work immediately. This agreement is significant for the shipping industry, as it demonstrates the power of collective bargaining in securing better working conditions and wages for workers.
During the strike, analysts at Morgan Stanley warned that a prolonged strike could hurt economic growth and boost inflation. However, the swift resolution of the strike has likely averted these potential economic impacts.
Image via Shutterstock
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This story was generated using Benzinga Neuro and edited by Shivdeep Dhaliwal
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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