Labor Strikes Threaten Global Supply Chains in 2025

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Labor Strikes Threaten Global Supply Chains in 2025
Supply ChainStrikesLabor Unrest
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Amazon warehouse workers and port workers are striking, creating potential supply chain disruptions and trade shocks. The Biden administration is using real-time freight data to mitigate congestion, but labor unrest is expected to continue.

Supply chain strikes were a major headline of 2024 and labor battles are poised to cause more trade shocks in 2025. Amazon warehouse workers led by the Teamsters are striking during the holidays, while East Coast and Gulf ports could be brought to a new standstill by a strike in mid-January. The Biden administration's Department of Transportation implemented a real-time freight data platform after Covid, FLOW, which now tracks 75% of all container imports.

'We're scratching the surface of what can be done here,' Biden DOT official Andrew Petrisin told CNBC of the government work with major retailers and shippers to stay ahead of shipping congestion, which could be set for changes under the Trump administration.are the latest supply chain headwind facing companies this holiday season, and labor battles — which have been a prominent feature of trade disruptions this year — will contribute tofor global shipping in 2025. The worker actions at Amazon organized by Teamsters union members come just weeks ahead of'The year-over-year 280% increase in strike activity seen in 2023 didn't slow down last year and we didn't expect it to,' said Mike Short, president of global forwarding atIndustries like automotive and pharmaceuticals that rely on a just-in-time inventory model need to be implementing and acting on contingency plans, Short said, not only in advance of a new strike but also for any further labor unrest on the horizon in 2025. The biggest potential labor disruption could come as soon as mid-January, with a Jan. 15 deadline for U.S. ports and the International Longshoremen's Association to reach a deal on automation at East and Gulf Coast ports. Talks between the parties recently broke down again, while President-elect Donald Trump recently Global shipping giant Maersk wrote in a note to clients late last week that as the Ja

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