Noah Smith Quotes
We should all be thinking very hard about whether it’s wise to have a labor system that can allow that sort of thing to happen. Is it right that the livelihoods of millions of Americans should hang on the whims of 50,000 dockworkers? Is it smart to give a single union the power to shut down a large portion of America’s critical infrastructure? Collective bargaining is important, but there should be limits on how destructive we allow that bargaining process to be. … But the worst thing about this strike is the nature of the ILA’s demands. Usually we think of strikes as being about higher wages, and maybe about better working conditions. The ILA’s wage demands are actually pretty close to being met. But the union is also demanding a complete ban on automation at the ports it controls. In fact, port automation is already heavily discouraged, both by the ILA’s existing contract, and by Department of Transportation Rules that stipulate that automation is never allowed to reduce the number or quality of jobs. But now the ILA wants to ban automation completely.
Smith is commenting on the International Longshoreman Association strike and the comments by Union President, Harold J. Daggett. (See related quote).
From an interview prior to the 2024 International Longshoreman Association strike. Daggett makes more than $900,000 a year as the union boss, drives a Bentley and owns a 76-foot yacht.
DOT rule regarding equipment at cargo ports effectively bans automation due to longshoreman union influence. This effectively guarantees inefficiency and increasing costs for American ports. See related quotes.
Noah Smith is a former Bloomberg Opinion columnist who received his PhD in economics from the University of Michigan after majoring in physics as an undergraduate at Stanford University. He was an assistant professor of finance at Stony Brook University, and is an active economics blogger on Noahpinion.