Impending West Coast Port Lockout - Will the economy collapse?

A lockout due to the West Coast Port labor dispute could occur between the next 5 to 10 days. Could it possibly be the event that strains our economy beyond its breaking point?
Source: www.sunherald.com

(caution - eye opening - white knuckle moment)
Update from James C. McKenna President & C.E.O.
Pacific Maritime Association


Its unbelieveable what these people make in wages and benefits. Just wait until these workers realize how much a person makes on unemployment insurance, and what the real unemployment numbers are.

White House does not plan to intervene in West Coast port dispute (2014 article)
www.bizjournals.com... le/news/2014/11/19/white-house-does-not-plan-to-intervene-in-west.html

It seems like a collision course for bad times. Your feedback welcomed.

a reply to: Bloomoon

Eh.

I think this will be resolved shortly and until then you will see more goods being routed through Mexico and Canada.

a reply to: Bloomoon

The company I work for does about 60% of our manufacturing overseas and this has been going on since November, it is nothing new.

Their have been shutdowns all along and the latest word, from our Operations Manager who has been stationed out there for the past two weeks to help alleviate our bottleneck, is that they are close to a deal and are currently running at full speed.

a reply to: Bloomoon

12% of the nation's GDP coming to a halt would be quite the gut-check. Affecting 9 million workers and $2 trillion dollars economic impact, this might hurt a bit.

S & F

originally posted by: OrphanApology

I think this will be resolved shortly and until then you will see more goods being routed through Mexico and Canada.

That really is not an option for many as their warehousing and distribution facilities are adjacent to or near the ports of Long Beach/Los Angeles or Seattle.

a reply to: AugustusMasonicus

It seems it would increase costs but again could be routed.

Think intermodal trucking. Tijuana to San Diego is a 36 minute drive. To Los Angeles it's like 150 miles.

I'm not saying it won't increase costs but if need be companies will find a way around it.

a reply to: Bloomoon

The port of La/Long Beach is massive and does a ton of business. If it closes then the whole country will be in a world of hurt.

a reply to: OrphanApology

Part of the appeal of Long Beach and Seattle is the rail infrastructure that allows container trans-shipment, San Diego's is not nearly as extensive as the former two.

a reply to: Bloomoon


Unless I am mistaken, this was resolved years ago by sending ships to Mexico and utilizing trucks and trains to deliver to the US. This was one of the Union complaints a few years ago and the plans for the Trans-Interstate systems.

a reply to: AugustusMasonicus

I imagine this might kick them in the ass in the long run since I think most of the goods going through the West Coast are Chinese.

Also, I put as an edit the time from Mexico to Los Angeles. It's not that much further. Again it would increase costs but would hopefully be doable to keep things running,

a reply to: Bloomoon

You said:
"Its unbelieveable what these people make in wages and benefits. Just wait until these workers realize how much a person makes on unemployment insurance, and what the real unemployment numbers are."

I don't know the other side's version of the events, but I have no doubt but what the union has a generous support package that kicks in if the workers go on strike. Many unions have that feature which, of course, encourages strikes.

Just a heads up OP. it Looks like only part of your hyperlink worked and the end of it got cut off/turned into regular text.
a reply to: Bloomoon

originally posted by: OrphanApology
I imagine this might kick them in the ass in the long run since I think most of the goods going through the West Coast are Chinese.

It will. We are exploring other options for these products as this 'slow down' happens every year.

a reply to: AugustusMasonicus

Is this the whole West Coast or are they more speaking of California as the West Coast?

a reply to: OrphanApology

There are 'sympathy' slow downs across the country. The Longshoremen are all supporting Long Beach.

a reply to: AugustusMasonicus

At first I was thinking "Cool, maybe they will route things through the Gulf of Mexico and I can get a job on the Texas port"...

Then I looked at a map.

I am really bad at geography.

Either way I imagine this will be over shortly but if they continue doing this every year like you said I imagine companies will try and figure out an alternative. Which might royally screw over California in the long run.

I think the only thing saving them at this point is how #ty Mexico is in terms of safety right now. I know of one trucker who would change the wheels on his truck every time he would go into Mexico with crappier older ones. Otherwise he wouldn't have any when he came back out.

a reply to: FamCore

Fixed with tinyurl. Thanks.

a reply to: OrphanApology

It appears to be the entire west coast. If I'm not mistaken, that is 28 port locations.

I am sure the strike will slow the delivery of all of that rubber dog sh*t out of China for the next crazy round of gift giving.

Prince Rupert, and Vancouver will be happy as clams....