CBS News
Port workers at East and Gulf Coast terminals steam toward a strike for the first time since 1977
U.S. ports along the East and Gulf Coasts are set to close on Tuesday, with the union representing tens of thousands of dockworkers and an industry group representing port operators and shipping companies at loggerheads over a new labor contract.
Experts warn that prolonged work stoppage could lead to higher costs on goods around the nation and create shortages ahead of the holiday shopping season. A one-week strike could cost the economy nearly $3.8 billion and increase the cost of consumer goods, according to the Conference Board, which called the situation a “political minefield” given that it comes just ahead of the November presidential election.
Other estimates of the potential economic hit also suggest the strike could take a toll, although the losses would likely amount to a small fraction of the nearly $29 trillion U.S. economy.
“A port strike could cost the U.S. economy billions of dollars a day, hurting American businesses, workers and consumers across the country,” Business Roundtable CEO Joshua Bolten said in a statement this weekend. “We urge both sides to come to an agreement before Monday night’s deadline.”
Such a breakthrough seemed unlikely as of late Monday afternoon.
The contract between the International Longshoremen’s Association (ILA) and the United States Maritime Alliance (USMX), which represents the ports and ocean carriers, expires at midnight Monday. A strike is set to officially kick off as of 12:01 Eastern Time on Tuesday, according to the ILA.
The two sides haven’t been at the bargaining table since June, and as of Monday afternoon there was little sign that they were set to resume talks.
A total of 14 ports involving some 25,000 workers could be affected by the strike, according to USMX: Baltimore; Boston; Charleston, South Carolina; Jacksonville, Florida; Miami; Houston; Mobile, Alabama; New Orleans; New York/New Jersey; Norfolk, Virginia; Philadelphia; Savannah, Georgia; Tampa, Florida; and Wilmington, Delaware.
The ILA is demanding sizable wage hikes and a complete ban on the use of automated cranes, gates and container-moving trucks in unloading or loading freight at ports handling about half of the country’s ship cargo.
“The ocean carriers represented by USMX want to enjoy rich billion-dollar profits that they are making in 2024, while they offer ILA longshore workers an unacceptable wage package that we reject,” the union said in a statement on Monday.
USMX did not immediately return a request for comment.
If a strike were deemed to threaten national health or safety, under the Taft-Hartley Act President Joe Biden could seek a court order requiring an 80-day cooling-off period. But Biden administration officials have repeatedly said he would not take to action to prevent a strike and that the contract dispute should be resolved through collective bargaining.
“Senior officials have been in touch with USMX representatives urging them to come to a fair agreement fairly and quickly — one that reflects the success of the companies. Senior officials have also been in touch with the ILA to deliver the same message,” White House spokesperson Robyn Patterson said.
With the first strike by the ILA at East and Gulf Coast cargo terminals since 1977 seemingly imminent, officials in New York and New Jersey have been working to minimize any potential supply-chain disruptions, setting up trucks to transport food and medical supplies.
Fuels like home heating oil and diesel gas are transported in ways that wouldn’t be impacted by a strike, New York Gov. Kathy Hochul said in a news conference on Monday, although she noted that the “potential for disruption is significant.”
New York does not expect shortages of essential goods anytime soon, so there’s no need to run to the grocery store and stockpile goods as occurred during the pandemic, Hochul said. Although there might be shortages of individual food items. such as bananas, should a strike persist longer than a few weeks, the state would continue to get food shipments from major markets including Canada, California and Mexico, as well as from New York itself, the governor added.
The automobile industry could feel a more immediate impact, however, with Hochul cautioning would-be buyers to call ahead.
“If you’re expecting a new car this week, it may be something you want to check with your dealer. It may not be arriving, for example, in the next few weeks,” she warned.
Hakeem Jeffries could make history if Democrats retake majority
House Minority Leader Hakeem Jeffries of New York could make history as the first Black speaker if Democrats win the majority.
It wouldn’t be the first time he’s made history. Jeffries became the first Black lawmaker to lead a party in Congress when he was elected minority leader in January 2023, succeeding former House Speaker Nancy Pelosi as the top Democrat in the lower chamber. His election also made him the first House Democratic leader to be born after the end of World War II.
Jeffries was first elected to Congress in 2012.
House GOP leadership to hold elections on Nov. 13
House Republicans will hold leadership elections on Nov. 13 after Congress returns from recess. It’s a quick turnaround because sluggish returns from California and races that are too close to call or are contested could blur the picture of which party has the majority on Nov. 13.
If Republicans lose control of the House, there could be a shakeup in GOP leadership. It’s unclear if House Speaker Mike Johnson of Louisiana would run for minority leader or if anyone would challenge him.
House Democrats haven’t said when they’ll hold their leadership elections.
— Scott McFarlane and Caitlin Yilek
GOP infighting a staple of the 118th Congress
Republicans took back control of the House in the 2022 midterm elections after four years of Democratic rule. But GOP infighting has made it difficult to govern with a razor-thin majority amid early retirements and the expulsion of Rep. George Santos, whose seat was later picked up by a Democrat.
In January 2023, former House Speaker Kevin McCarthy of California finally won the speaker’s gavel after 15 ballots amid a prolonged — and public — fight with conservatives who demanded concessions, foreshadowing the limits of his power over a fractured party.
His deal with far-right Republicans to allow a single member to trigger a no-confidence vote to remove the speaker came back to haunt him nine months later after he relied on the votes of House Democrats to temporarily avert a government shutdown. Eight Republicans voted with all Democrats to remove McCarthy, making it the first time in U.S. history a House speaker was ousted by such a motion.
Speaker Mike Johnson of Louisiana succeeded McCarthy after three weeks of chaos caused by the GOP’s inability to coalesce around a candidate. Though Johnson has faced similar issues as McCarthy and has had to rely on Democratic votes to pass legislation, he has survived in the role longer than his predecessor. Democrats stepped in to rescue Johnson from an ouster attempt in May.
House control last flipped during presidential election cycle in 1952
The last time control of the House flipped in a presidential election year was 1952. Republicans won the House and Dwight D. Eisenhower was elected to his first term in the White House.
Battle for control of the House
Of the 435 House seats on the ballot, about 40 are seen as competitive, according to the Cook Political Report, a nonpartisan election analysis site that considers 22 of those races toss-ups. Of those 22 seats, 10 are held by Democrats and 12 by Republicans. Of the other 21 competitive seats, 13 are lean Democrat and eight are lean Republican.
Republicans currently have 220 seats. Democrats have 212. There are three vacancies due to the deaths of Rep. Sheila Jackson, a Texas Democrat, and Rep. Bill Pascrell Jr., a New Jersey Democrat, and the early retirement of Rep. Mike Gallagher, a Wisconsin Republican.
For Democrats to take control of the chamber they’d have to hold on to their 212 seats and the two vacancies from deaths, as well as pick up four seats.
It’s unlikely to be that easy, however. Redrawn congressional maps in North Carolina mean three seats held by Democrats are poised to be easily won by Republicans.
But the swing toward Republicans is blunted in part by redrawn congressional districts in Louisiana and Alabama that are likely to be won by Democrats under the new lines.
— Caitlin Yilek, Hunter Woodall and Alexandria Johnson
CBS News
Donald Trump Media posts earnings as DJT stock halts on Election Day. Here are the details.
Donald Trump’s Trump Media & Technology Group had an eventful Election Day 2024, with its DJT stock halted three times after the shares suddenly plunged. At the end of the trading day, the Truth Social owner released its third-quarter earnings, showing a continued decline in revenue.
The company’s third-quarter results, disclosed in a U.S. Securities & Exchange filing, shows that the fledgling social media business continues to lose money, while its revenue slipped 5.6% compared with a year earlier. Still, that marks an improvement from the prior quarter, when Trump Media’s sales tumbled 30%.
Donald Trump’s stake in DJT
DJT stock has been on a rollercoaster since going public in March, with the shares surging or falling in line with news about Trump, its largest shareholder, with about 57% of the company’s shares. The erratic fluctuations of the shares have prompted comparisons with so-called meme stocks, which trade on social media buzz rather than the fundamentals that investors prefer, such as revenue and profitability growth.
“This has been an extraordinary quarter for the company, for Truth Social users, and for our legion of retail investors who support our mission to serve as a beachhead for free speech on the internet,” Trump Media CEO Devin Nunes said in a statement.
The company said it lost $19.2 million in the quarter ended September 30, compared with a loss of $26 million in the year-earlier period. Sales fell 5.6% to $1.01 million.
How DJT stock performed on Election Day
DJT stock initially surged almost 19% on Election Day before giving up those gains and closing down 1%. Trading in the stock was also halted three times on Tuesday by the New York Stock Exchange due to sudden drops in its price.
The shares have been on a wild ride since going public in March, initially surging and giving former president’s 57% stake a value of $5.2 billion. But the shares tumbled after Vice President Kamala Harris entered the presidential race, eventually hitting a low of $11.75 per share in September and shaving Trump’s stake to $1.4 billion.
But after hitting that low, the shares more than quadrupled after Trump was predicted to win the presidential race by betting markets like Polymarket.
Yet in recent days, DJT stock has lost much of those gains, shedding 34% of its value since its most recent high of $51.51 per share on October 29.
Senate elections live balance of power for 2024
There are 34 Senate seats up for election in 2024, and Democrats are facing strong headwinds as they seek to defend their narrow 51-49 majority. Heading into Election Day, Republicans appeared to have an edge in several races that could determine control of the Senate.
Senate elections live results map for 2024
Democrats are facing a particularly difficult map this cycle, fighting to hold seats in two states Trump won in 2020. In another six states, Democratic incumbents are in tight races, while only two Republican-held seats are considered possible pickup opportunities for Democrats.