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Bush Intervenes in Port Lockout
Associated Press via Yahoo ^ | October 7, 2002 | SCOTT LINDLAW, Associated Press Writer

Posted on 10/07/2002 9:47:54 AM PDT by snopercod

WASHINGTON (AP) - Hours after talks broke down between West Coast port workers and shipping lines, President Bush took a first step toward ordering longshoremen back onto the job Monday. Bush formed a board of inquiry to determine the impact of a dispute draining up to $2 billion a day from the U.S. economy. The board will make a quick assessment of the economic damage and determine whether the two sides are negotiating in good faith. Its formation was required before the president can order an 80-day cooling-off period that would force longshoremen back to work. Bush has not decided whether to take that step, said White House spokesman Ari Fleischer.

Bush signed an executive order stating that "continuation of this lockout will imperil the national health and safety" and forming the panel, which must report back to Bush by Tuesday. Bush then would have to make his case in federal court, asking for a ruling to end the lockout for 80 days because the dispute is hurting the national interest. A senior administration official said Bush would likely immediately go to court after the board makes its report.

The board's members are former Sen. Bill Brock, R-Tenn., a former U.S. trade representative and labor secretary; Patrick Hardin, a professor at the University of Tennessee College of Law and onetime National Labor Relations Board official; and Dennis Nolan, a professor at the University of South Carolina law school and vice president of the National Academy of Arbitrators.

"Clearly, the longer this goes on, the longer the parties are incapable of reaching an agreement between themselves, the more damage it's doing to America's economy and hurting people who are wholly unrelated to events on the West Coast because they work down the assembly line, they're down the production line or the shipment line, and that's not fair," Fleischer said.

According to Robert Parry, president of the Federal Reserve Bank of San Francisco, the lockout is sapping $2 billion a day from the economy.

"The country has been patient. We have been patient," said Labor Secretary Elaine Chao. "But now ordinary Americans are being seriously harmed by this dispute."

The Pacific Maritime Association, which represents shipping companies and terminal operators, has locked out 10,500 members of the longshoremen's union, claiming the dockworkers engaged in a slowdown late last month.

The association ordered the lockout until the union agrees to extend a contract that expired July 1. The main issues are pensions and other benefits and whether jobs created by new technology will be unionized.

Labor talks broke off in San Francisco late Sunday night after the union rejected the latest contract proposal.

Steve Sugerman, a spokesman for the Pacific Maritime Association, said the shippers' offer "would have made their members the highest-paid blue-collar workers in America." The contract offer would have given union members an increase in pay, complete health care coverage with no premiums and no deductibles and a $1 billion increase to the union's pension plan.

The PMA offered to reopen the West Coast ports if the union agreed to a 90-day contract extension to finalize the new contract, Sugerman said.

A call to union president James Spinosa was not immediately returned early Monday.

Bush's decision came after days of debate within the White House. Some advisers have warned Bush that intervening in the shutdown could energize the Democratic Party's labor base weeks before the midterm elections, and that Taft-Hartley, the law that allows the president to order a cooling-off period, has a poor history of resolving labor disputes.

Others, however, say Bush can't ignore the economic implications of a prolonged shutdown, both for political and policy reasons. There also is no love lost between unions and Bush's most conservative advisers, some of whom note with disdain that some of the longshoreman earn more than $100,000 a year.

The lockout entered its second week Monday, with the number of cargo vessels stranded at West Coast docks or backing up at anchor points rising to 200. Dozens more were still en route from Asia.

Analysts and business leaders have warned the shutdown will cause a noticeable increase in plant closings, job losses and financial market turmoil.

Already, storage facilities at beef, pork and poultry processing facilities across the country are full — crammed with produce that can't be exported.

With nowhere to move their product, plant operators were expected to begin shutting down Monday, with layoffs soon to follow, said Mary Kay Thatcher, public policy director of the American Farm Bureau Federation.

In less than two weeks, if the shutdown continues, manufacturing plants will be grinding to a halt all over the country, farmers will be up in arms, and Asian equity and currency markets could face a full blown crisis, said Steven Cohen, a University of California, Berkeley professor of regional planning.

"It's like draining a swamp. You start seeing all kinds of ugly creatures," he said.


TOPICS: Breaking News; Business/Economy; News/Current Events; US: California; US: Oregon; US: Washington
KEYWORDS: longshoremen; union
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I'm glad to see Bush doing what is right, rather than what is politically correct.
1 posted on 10/07/2002 9:47:54 AM PDT by snopercod
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2 posted on 10/07/2002 9:48:13 AM PDT by Mo1
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To: snopercod
Agreed.
3 posted on 10/07/2002 9:50:11 AM PDT by rintense
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To: rintense
It gets him past Christmas and provides time to show what a thuggish bunch the ILWU really is.
4 posted on 10/07/2002 9:53:33 AM PDT by Carry_Okie
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To: Carry_Okie
Good !
these poor bastards must now go back to work for their $80-$160 K per year...
5 posted on 10/07/2002 9:54:47 AM PDT by Eric in the Ozarks
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To: rintense
I'm convinced this mess is orchestrated by the despotic democrat party, as their methodology to get the war off the front page. The democrat party doesn't care how much harm they cause, just how much it empowers them in their agenda.
6 posted on 10/07/2002 9:56:31 AM PDT by MHGinTN
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To: snopercod
Tom Daschle is a union lobbyist. He has sold out our homeland security for union votes and now the Democrat union members are selling out our national economy for the sake of over-paid union jobs. Call Tom Daschle and tell him to get his people back to work.
7 posted on 10/07/2002 9:59:44 AM PDT by Eva
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To: snopercod
The Dems are already trying to figure a way to spin this to make Bush appear the bad guy.

My guess is that they will try to portray Bush as anti-union and pro-big business.
8 posted on 10/07/2002 10:00:27 AM PDT by Blood of Tyrants
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To: snopercod
What's that? You mean have Big Government step in and interfere with the free market exchange?

Some small government advocates you people are.
9 posted on 10/07/2002 10:00:28 AM PDT by Viva Le Dissention
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To: Eric in the Ozarks
these poor bastards must now go back to work for their $80-$160 K per year...

Longshoremen? Work?

Let's not get carried away with the exaggerations, shall we?

10 posted on 10/07/2002 10:00:49 AM PDT by Carry_Okie
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To: Carry_Okie
Does the 80 day cooling-off period apply to lockouts as well as strikes. In this case, it's the employers that are refusing to let the workers work. (Same economic effect, different legally.)
11 posted on 10/07/2002 10:02:49 AM PDT by Doctor Stochastic
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To: snopercod
How is this 'good' again? Granted, I don't want to see a lockout and I can't stand unions. However, it is not the government's place to negotiate deals for the private industry. This isn't like the air traffic controllers situation where lives would possibly be at stake.
12 posted on 10/07/2002 10:03:08 AM PDT by billbears
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To: Doctor Stochastic
I'm not sure, but I think so.
13 posted on 10/07/2002 10:06:41 AM PDT by Carry_Okie
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To: Carry_Okie

14 posted on 10/07/2002 10:07:58 AM PDT by bonesmccoy
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To: snopercod
I'M CUTE. BUT I CAN'T CAMPAIGN.

HELP TAKE BACK THE SENATE.
IT'S FOR THE CHILDREN!

TakeBackCongress.org

A resource for conservatives who want a Republican majority in the Senate

15 posted on 10/07/2002 10:09:44 AM PDT by ffrancone
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To: MHGinTN
Your post #6 crossed my mind too! I have a hard time feeling pity for people who strike who make the kind of money, or that baseball players make, etc. If they feel they need more pay, fine, but make your waves in a less destructive manner, and perhaps they should time it a tad better too!

We happen to be at war in this country. We need a healthy economy to support our troops. I don't think their timing generates a lot of sympathy to be quite honest.
16 posted on 10/07/2002 10:12:39 AM PDT by Vets_Husband_and_Wife
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To: billbears
This is "good" because the grossly overpaid union workers won't be allowed to strangle the entire US economy in their drive to appropriate more money for themselves at the expense of the general public (through higher prices). I would bet that there are many people who would be overjoyed to do the work for only $70,000 plus benefits, but of course the employer won't be allowed to hire them... unions have this cute little habit of getting the laws changed to favor them in every battle.
17 posted on 10/07/2002 10:14:02 AM PDT by Teacher317
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To: bonesmccoy
Great movie. I lived on a boat on the waterfront in Oakland, CA for nine years.
18 posted on 10/07/2002 10:16:16 AM PDT by Carry_Okie
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To: MHGinTN
I'm convinced this mess is orchestrated by the despotic democrat party

FYI...you'd be surprised what a quick cross-search under "Spinosa, Daschle" turns up...from August 16, 2002...

“Contract, Yes! Government intervention, No!” was the message of the International Longshore and Warehouse Union (ILWU), the AFL-CIO, Senate Majority Leader Tom Daschle (D-S.D.) and many mayors at rallies up and down the West Coast, Aug. 12. Thousands took to the streets in protest of a threat by the Bush administration to take over ports militarily in the event that the union decides to strike.

“I’m here because I think you are right on track. The stakes could not be higher,” Daschle said to the Portland, Ore., rally. “I say this administration is wrong, wrong, wrong, and you’ve got every right to fight, fight, fight!” “We will be with you until the last day to see that you get what you deserve,” Daschle said as he pledged that Democrats nationwide would defend the union’s right to strike.

Backing that message were other prominent Congressional Democrats including Sen. Ron Wyden (D-Ore.) and Rep. David Wu (D-Ore.), who joined Daschle in Portland; Sen. Barbara Boxer (D-Calif.), Reps. Barbara Lee (D-Calif.) and Grace Napolitano (D-Calif.) and House Democratic Whip Nancy Pelosi (D-Calif.) sent strongly worded messages to the rallies.

Source

The usual suspects...
19 posted on 10/07/2002 10:16:57 AM PDT by ravingnutter
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To: Viva Le Dissention
So what's free trade about having a bunch of greedy union thugs crippling the economy and putting thousands of innocent people out of work? What's free market about the ripple effect of people who are already higher paid than most corporate executives?

If we want to talk free trade, then the owners could go out and HIRE people who would be willing to work for $80,000 a year plus full medical coverage instead of being forced to wait for the nod from people who are afraid of technology.

20 posted on 10/07/2002 10:17:57 AM PDT by McGavin999
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