Dockworkers strike at Miami, Fort Lauderdale ports

MIAMI - Thousands of dockworkers at ports on the East and Gulf coasts are now on strike , demanding higher pay and job protections.

The United States Maritime Alliance (USMX) tells CBS News the contract they're negotiating with the International Longshoremen's Association covers about 25,000 workers. More than a dozen ports are impacted including PortMiami and Port Everglades .

"Our members top out at $39 (per hour). We are looking for a 77%, close to 77% increase over the next seven years. When you look at the cost of inflation that's more than reasonable," said Johnnie Dixon, president of the International Longshoremen's Association chapter in Fort Lauderdale.

In addition to higher wages, they also want a stop to automation. Dixon said this fight is important to the union's members.

"This is their livelihood. This is how our members take care of their families, this is how they pay their bills. They provide for extended family members and support their communities. So it is extremely important to our membership," said Dixon.

In a statement, USMX said they view their counteroffer as fair.

"Our offer would increase wages by nearly 50 percent, triple employer contributions to employee retirement plans, strengthen our health care options, and retain the current language around automation and semi-automation," USMX said in a statement.

Dixon said the USMX offer is well below what they are asking.

"We have these regular conversations. Our members who are new to the industry they can't even find a decent apartment with the amount that rents are today. Housing has increased, health insurance has increased, everything is increasing all around us. It is time for our members to receive their fair share for the role they play in this industry," he said.

Overnight, the striking workers showed up to form picket lines at PortMiami and Port Everglades.

At PortMiami, about 40 workers showed up at midnight to voice their complaints and more are expected to join throughout the day Tuesday. At Port Everglades, approximately 800 longshoremen are expected.

Dixon said their demands are reasonable.

"It's tough work, it's dangerous, we put our lives on the line every day. Unfortunately, we do have some situations where our longshoremen do not go home. When we speak about the pandemic when the world stopped, our members were still out there making sure we got the medical supplies, whatever America needed, our members were on the front line keeping the supply chain moving," he said.

Dixon said their members are the "supply chain."

"These are the men and women who move the medical supplies, the car parts, the meat, the green fruit. Everything goes through their hands. They operate all of the equipment, they drive all the trucks, the top loaders, we even take care of all of the cruise vessels. It's a non-stop operation, it's 24/7, we've lost close friends doing this work, it's dangerous work," he said.

At PortMiami, the biggest commodities going in and out of the port are fruits and vegetables, apparel and machinery.

While most dock workers are longshoremen union members, some are not. Port Everglades said a strike would impact 41% of containerized cargo.

Gasoline shipments at Port Everglades, and South Florida's huge cruise industry, will not be affected.

Some economists say a prolonged strike could lead to retail shortages and price hikes.

"We're talking about it could be something as simple as bananas out of Central America. Alcohol," said Craig Austin, an associate professor at Florida International University specializing in logistics and supply chain issues. "It could be automobiles, car parts."

The ports affected by the strike handle roughly half of the country's ship cargo. Experts say the economic impact of a prolonged work stoppage could be steep, potentially raising the cost of consumer goods and creating shortages ahead of the holidays.

A one-week strike could cost the U.S. economy nearly $3.8 billion and increase the cost of consumer goods, according to the Conference Board.

The dock workers say they are prepared to stay on the picket line until their demands are met.