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Supply Chain Nightmare Fears Grow As Rail Strikes More Likely

Supply Chain Nightmare Fears Grow As Rail Strikes More Likely

We recently reported a short update on supply chain fears surrounding the talks of a potential rail strike this December. Now we’re back to give you a few more details. On Monday, one of the biggest rail unions rejected a deal, becoming the third union that failed to reach contract agreements per PBS news. 

Everyone’s fear is so heightened because a strike would send ripples across an already shaky supply chain. Already, President Joe Biden has had to come into the negotiations to try and keep the strikes at bay back in September, but it’s clear now that the rail unions won’t be easily subdued. The president already has to walk a careful line because critics say he is too “pro-union.” At the same time, supporters could be turned off by any aggressive action towards workers.

Here is what key voices are saying about a potential rail strike.

  • Jeremy Ferguson, president of the largest rail union said, “Members aren’t necessarily voting on the money issues…it’s quality of life, and how they’re treated.” 
  • A statement from the Retail Industry Leaders Association read, “Retailers urge policymakers to use every tool at their disposal to avoid a self-inflicted economic disaster.” 
  • White House press secretary Karine Jean-Pierre stated, “a shutdown is unacceptable because of the harm it would inflict on jobs, families,” but did not comment further on any congressional action.

At this stage, the slight recoveries that we were starting to see this holiday season could be completely wiped out if an agreement isn’t reached and congress does not force any action. We won’t have long to find out, as a strike could happen as early as December 9th.