Dock Worker Labor Troubles in LA

Is the current labor slowdown/strike at the port in Los Angeles having any effect on cruise ships?

Is the current labor slowdown/strike at the port in Los Angeles having any effect on cruise ships?

I believe it has subsided in the last week since the dispute has the attention of the feds and the media. They are getting a lot of negative publicity and don't need any more.

Having said that, if they don't submit to binding arbitration and if they call a strike, it could impact the cruise ships.

http://www.americanshipper.com/Main/News.aspx?taxonomy=Labor

I saw a mention last week that the ILWU had "exempted" both Jones Act shipping (US flag coastwise and Hawaiian ships) and cruise ships. Neither is a big loss of pressure for them (not a lot of jobs), and exempting the Jones Act ships gains the US Maritime labor union support, and the cruise ships keeps them from front page bad PR.

However, the slowdown is still affecting container traffic, and the ships are piling up. With today's "just in time" inventory model (not having a lot of stock on the shelf), this is forcing some shippers to more costly air freight, so expect prices to go up. About 12% of the US's GDP flows through the West Coast container ports.

The strike has been settled--for the west coast.