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Consumers could pay in dock dispute
LONG BEACH, California (CNN) -- Factory workers may be laid off, Christmas shoppers may come up empty-handed and prices may skyrocket if docks along the West Coast remain idle. Televisions, toys, car parts and produce are just some of the items stuck in the ports because of a labor dispute between dock workers and shipping lines. CNN Anchor Leon Harris discussed the situation Tuesday with CNN Correspondent Casey Wian. WIAN: The West Coast port shutdown has now entered its fourth day and some 150 ships are stranded up and down the coast at sea and at dock, unable to unload or load 500,000 40-foot cargo containers. The economic damage is mounting, a billion dollars a day. That number will increase the longer this shutdown lasts. Already, some produce is rotting on the docks, businesses are unable to get merchandise, factories are unable to get parts. Shippers say they will continue to keep the ports closed until the Longshoremen's Union either agrees to a temporary extension of the contract that expired on July 1st, or an entirely new contract. Shippers say that would prevent a work slowdown. The 5-month-old contract dispute centers around technology and shippers' desire to improve efficiency at the ports. The union, meanwhile, wants to protect jobs. Now, there's an interesting development in the port of Long Beach overnight. A fire broke out in one of the stranded ships on the dock. That fire was in one of the containers. Of course, any time there is a labor dispute like this, people begin to wonder about arson. Authorities say there is no evidence of that, and in fact, union members dropped their picket signs and helped firemen put out that fire and unload the affected container from the ship. Later today, union leaders are scheduled to meet with a federal mediator. They have not agreed to formal federal mediation, but just the fact that they have agreed to talk to a federal mediator is seen as a hopeful sign. Also earlier Tuesday, President Bush urged both sides to get together with a federal mediator to try to solve this problem. If they don't do that and are unable to do that, within several days, it is likely the Bush administration will step in and order both sides back to work to protect the U.S. economy. HARRIS: Speaking of the economy, as I understand it, Casey, there is a something of a silver lining, possibly, maybe a small one here for the airlines. Is that true? WIAN: I'm not sure. You know, it's possible. Already shippers are beginning trying to figure out new ways to move their merchandise, and the airlines are obviously one way they are hoping to do that. It doesn't make sense, though, for most of the shippers. They have designed the movement of their goods through these massive container ships, and it's not easy to ship all of the cargo onto airlines, especially all the cargo that is already out at sea, and there's a lot of it.
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