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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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To: HamiltonJay
Actually, I think Mr. Bush's responses have been rather "textbook" so far.
The dockworker lockout issue is a no-winner for conservatives who are looked on as largely anti-union (and LARGELY anti-union). GW issued the prerequisite admonishments for both parties to stop posturing and return to the tables a week ago. Now he is setting up a commission to determine who is hindering the negotiation process. Remarkable restraint if you ask me.
The Taft-Hartley Act has been invoked at least three times in the past regarding dockworker strikes (notably in 1938), and has ultimately proven to be a stopgap solution at best.
Oh, and my sentiments towards the dockworkers? I say BUST 'EM!
41 posted on 10/07/2002 11:51:36 AM PDT by rockrr
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To: snopercod
I live in Huntington Beach, which is about 17 miles south of the port in LA/Long Beach. The container ships are stacked up all the way down here, like a big line at the drive-through, spaced a couple hundred yards apart.
42 posted on 10/07/2002 12:01:09 PM PDT by kezekiel
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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...

I'm an unemployed high tech worker, and I'd take one of those jobs for less than they make and be thrilled with it, and in a year I'd be thier boss because I actually show up to work, not for work.

43 posted on 10/07/2002 12:05:08 PM PDT by kezekiel
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To: Smogger
The reports I've read indicate the union members have been conducting a work slow down for some time to make operation next to impossible. In response, a lock-out was called to bring the situation to a head. If I'm misinformed, let me know.
44 posted on 10/07/2002 12:07:48 PM PDT by 2grit
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To: snopercod
Praise GOD! This takes huge courage! It IS the right thing! Thank you, President Bush!
45 posted on 10/07/2002 12:15:46 PM PDT by Freedom'sWorthIt
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To: kezekiel
Why is it do you think that longshoreman make so much? Would you care to hazard a guess?

I'll give you a hint. It's the same reason brakeman/switchman (who are also union) make so much working for the railroad.
46 posted on 10/07/2002 12:15:48 PM PDT by Smogger
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To: Fishrrman
Thanks, John. It has been annoying me too that some folks around here get "lockout" and "strike" confused.
47 posted on 10/07/2002 12:22:51 PM PDT by Bella_Bru
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To: 2grit
to make operation next to impossible.

I didn't read that "operation were made next to impossible" [sic]. I did, however, read that the owners alledge that a work slowdown took place last month. This is a common labor negotiating tactic similar to the "blue flue" that occurs everytime the LAPD or LA County Sheriff's Departments contracts expire and they are forced to work without a contract.

100K a year dock workers may not command much sympathy from me, but billion dollar multinational conglomerates get even less.

48 posted on 10/07/2002 12:24:14 PM PDT by Smogger
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To: Viva Le Dissention
I completely agree that (Big) Government should be out of it. So what is the purpose of the NLRB http://www.nlrb.gov , which brings suit against employers that replace striking workers? THAT is an agency of Big Government that needs to go TODAY.
49 posted on 10/07/2002 12:26:35 PM PDT by adnoid
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To: snopercod
This resident of Huntington Beach, about 15 miles down the coast from LB/LA harbor is watching a truly stunning sight.

While yet to see 200 vessels, we've counted 20 and more, waiting just a few miles offshore. Never in 34 years has anything remotely like this happened. I bet never in the history of the port.

The combined Los Angeles/Long Beach harbors are the largest commercial port in the US. Two separate entities, next to each other.

I sure hope that a ship doesn't hit one of about eight offshore oil platforms.

The longshoremen live well, on $100 k per annum. They want to keep technology out of the work. Most of the jobs at stake are clerical.

All of the vessels standing offshore are an environmental and national security risk. An al Qaeda operative could theoretically go out among the waiting vessels, and do the suicide bomb-boat terror-act. Then blame it on the US, for not "protecting" the foreign vessel and crew.

I wonder if some crew members are discussing a strip ashore? Immigration issue, too.

One thing for sure: It is a once in a lifetime sight. The ships are huge. So many in one place.

50 posted on 10/07/2002 12:28:50 PM PDT by truth_seeker
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To: Smogger
Im a fireman here in Indiana and I belong to one of these "EVIL" unions. What lazy, overpaid scum we are...along with our brothers in NYC and around the country. LMAO!!!
51 posted on 10/07/2002 12:31:27 PM PDT by Moosefart
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To: kezekiel
The Longshoremen used to control he docks around the Great Lakes, too, but the shippers got wise. Since most of what they haul is bulk commodities like iron ore, coal and stone, the vessels were designed to unload themselves. They don't need tugs, either since they have bow and stern thrusters and can bring themselves up to a dock without Longshoremen.
52 posted on 10/07/2002 12:31:33 PM PDT by Eric in the Ozarks
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To: Blood of Tyrants
My guess is that they will try to portray Bush as anti-union and pro-big business.

That goes without saying. But in this case, too many people know that these unskilled workers have rejected salaries and benefits that the rest of us can only dream about. Even union people will not support these overpaid scum.

53 posted on 10/07/2002 12:31:46 PM PDT by snopercod
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To: snopercod
Makes me wonder why I bothered going to college.
54 posted on 10/07/2002 12:35:42 PM PDT by Blood of Tyrants
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To: Viva Le Dissention
Free market?

Are you implying that I could go...say...Long Beach and be hired to drive a fork lift for...well, hell...I'd do it for $100,000 per year?

I have seen these union thugs at work, and my car would be bashed and battered as I drove through their picket lines in an attempt to get to work. I would probably be shot.

Usually, the crooked cops stand by and watch, too.

I am not making this up. I have personally observed it in Laughlin, NV, in 1980 when Southern California Edison was on strike. I saw the guns, I saw the headlights being broken with 2x4s, and I saw the Sheriff's Deputies standing around and watching, but doing nothing.

Is this your idea of a free market, newbie?

55 posted on 10/07/2002 12:40:06 PM PDT by snopercod
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To: Viva Le Dissention
People choose to join a union, even if a job is "closed shop." Going into that situation, a worker knows that the union will bargain on his behalf with management.

And what do you think would happen if the Company started bringing in replacements for these "slowed down" workers? If the employer does not have the power to terminate an employee if he wants to then the whole concept of "free trade" is skewed. Good for Bush if he does this. He gets some badly needed points in my book.

56 posted on 10/07/2002 12:43:35 PM PDT by KDD
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To: snopercod
Are you implying that I could go...say...Long Beach and be hired to drive a fork lift for...well, hell...I'd do it for $100,000 per year

Hell, I'll even bring my own forklift.

57 posted on 10/07/2002 12:47:21 PM PDT by KDD
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To: Blood of Tyrants
Makes me wonder why I bothered going to college.

Don't get me started. These days in post-industrial America, the high-school dropouts are the smart ones.

58 posted on 10/07/2002 12:47:29 PM PDT by snopercod
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To: Viva Le Dissention
The problem, buddy, is that you are assuming a free market to begin with. It's not. Federal law requires negotiations with unions. In a free market, if the longshoremen don't show up for work, the businesses can fire those guys and hire new works. But federal law doesn't allow that. So it's not even a free market to begin with.
59 posted on 10/07/2002 12:51:45 PM PDT by mrs9x
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To: Moosefart
Are unions evil... of course not. Are they all lazy, overpaid scum... of course not.

My father works at Ford. Last year, he made over $100,000. I don't have a problem with that. I don't envy anyone their salaries. If someone is willing to pay him $100,00 for the following, then I say more power to my father:

He reads his morning paper on the job.

He works out on the job.

He is only allowed to manufacturer so many parts then he is done. If he is done by 10:00, then the rest of the day is his.

He gets in a 2 hour nap.

He has full benefits.

I don't blame the union members; they seemed to have worked themselves a pretty good deal. I blame the employer for allowing this kind of thing to go on.

60 posted on 10/07/2002 12:53:33 PM PDT by carton253
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