The seamless holiday experiences we enjoy—from gifts under the tree to festive meals—rest upon the shoulders of distributors maintaining secure and efficient supply chains. Yet this smooth operation depends on one critical, often overlooked factor: our ports remaining continuously open.
Recent events have put this stability at risk. The International Longshoremen's Association (ILA) nearly called another strike this month, a move that could have plunged our economy into crisis, threatening daily economic losses of approximately $43 billion according to RSM US analysis from October 1. While a last-minute agreement with the United States Maritime Alliance averted disaster—one that appropriately incorporated automation elements—the fact that negotiations escalated to the brink of shutdown remains deeply concerning.
A National Security Imperative
Why does this matter so profoundly? Because functional supply chains constitute a national security priority. Allowing any single labor organization to hold the American economy hostage—inflicting incalculable harm on consumers, distributors, and businesses—clearly runs counter to the national interest. Our ports handle 70% of U.S. international trade; their paralysis would not only jeopardize economic growth but erode our global competitiveness.
The recent agreement represents meaningful progress, demonstrating that adopting automation as part of supply chain reinforcement is both feasible and necessary. Yet certain union leaders continue prioritizing self-interest over collective welfare, creating unnecessary standoffs that strain public trust and economic resilience. To enhance national competitiveness, we must prevent labor disputes from ever again threatening port operations.
The Global Automation Imperative
Europe and Asia offer compelling examples of how automation boosts efficiency and secures competitive advantage. Technological adoption isn't about replacing human workers but creating pathways to new opportunities. More efficient ports handle greater cargo volumes, stimulating economic activity while increasing demand for skilled workers in technology-driven support roles. However, this requires substantial workforce investment—training, education, and tools to thrive in modernized port environments.
From the wholesale distribution sector's perspective, we witness daily how modern port infrastructure safeguards American supply chains. While contingency plans address short-term disruptions like hurricanes, prolonged port closures present existential threats. Even strike threats send shockwaves through supply networks, inflating costs that ultimately reach consumers.
Learning from History's Lessons
Resisting necessary innovation while clinging to outdated methods undermines both American competitiveness and the progressive spirit that built this nation. We've seen this pattern before. During the 1960s-70s, unions including the ILA initially resisted containerization—the revolutionary technology that transformed global commerce. Their reluctance nearly derailed one of modern business's greatest advancements.
Our dockworkers remain indispensable partners in national prosperity, deserving fair wages, respect, and clear career pathways. The recent agreement proves automation can benefit both labor and industry when implemented thoughtfully. But we must internalize this lesson: America's prosperity cannot become hostage to leaders unwilling to confront global competitive realities. By investing in our workforce, embracing technology, and ensuring open, sustainable ports, we secure our nation's economic health and competitive future for generations to come.