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June 22 2020

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4 The Journal of Commerce | June 22 2020 www.joc.com Mark Szakonyi IN EARLY MARCH, the COVID-19 pan- demic was on the Port of New York and New Jersey's doorstep, threatening to infect its some 3,500 workers and crip- ple operations in and around the largest US East Coast port. The first warning had come Feb. 7, when a cruise vessel was identified as having so-called pas- sengers of concern, and by mid-March, the port was deemed an essential ser- vice by the New Jersey and New York state governments. "But then things changed pretty quickly when we started to get our first cases showing up in the workplaces, and the anxiety levels really started to peak," said John Nardi, president of the New York Shipping Association (NYSA). The warnings from healthcare profes- sionals were frightening: Every positive COVID-19 case could infect up to 10 people in close contact. But port opera- tions aren't designed for social distancing. "Everyone is being told to isolate, and we're being told to work together," Nardi said in a JOC Uncharted segment. New York–New Jersey port leaders sprang into action. Tapping the formal networks created by the Council on Port Performance, which was forged after summer gridlocks in 2013; Sustainable Terminal Services, a nonprofit created by the port's six marine terminals; and informal networks, the port authority, longshore labor, and marine terminal operators marshalled a response. The NYSA and International Longshore- men's Association (ILA) together agreed on messaging about how to prevent the spread of the coronavirus disease 2019 (COVID-19), set up daily temperature checks, and established contact tracing procedures for any worker who reported symptoms, Nardi said. The ILA and terminal operators coordinated staggered shifts for when workers were amassed, changed shift start times to avoid overlap when pos- sible, and carved out time for cleaning. Wearing masks, regularly using hand sanitizer, and only allowing two port workers to use any piece of machinery in a given day became the norm. "We set up three shifts of a day temperature checking," reducing the anxiety in the workplace, Nardi said. "If you know the person who is work- ing next to you had their temperature taken, you'd feel a lot better knowing you're safe that day." In early April, two longshore work- ers were identified as having died from COVID-19. The coronavirus impacted just over 320 longshore workers during the March and April peak, and 61 tested positive in May, according to the NYSA. Because longshore workers don't generally receive sick pay, and dis- ability benefits are only available for injuries directly related to the job, those unable to work because of illness or quarantine would normally have been left in a tight spot. However, an emergency fund created by the NYSA and United States Maritime Alliance, the administrator of the coastwide master labor contract, helped affected workers supplement unemployment and temporary disability benefits. The formal port group helped elicit a coordinated response to the crisis, but so did informal networks, said John Atkins, president of Global Container Terminals USA. Marine terminals are comfortable work- ing together, having pooled their resources to move relief supplies for Hurricane Sandy in 2012. "Even though we compete on mul- tiple levels for the same business, we actually function as a port community on that level to ensure everyone is keeping their facilities up and running," Atkins told JOC Uncharted. The port's response went well beyond its physical footprint. The port authority worked with neighboring states to help ensure operators of warehouses and distribution centers understood their facilities were con- sidered essential services. In one case, a cargo owner shipping 500 containers weekly shut down its Pennsylvania warehouse after the state's initial essential service messaging. "We were concerned about the impact of that cargo backing up at our terminals and the cascading effect it would have up and down the supply chain," Beth Rooney, deputy port direc - tor of the Port Authority of New York and New Jersey, told JOC Uncharted. The office of New Jersey Gov. Phil Murphy helped get the issue on the radar of its Pennsylvania counterpart. That led to Pennylvania's state govern- ment clarifying its communication on essential service. After three days of being shuttered, the warehouse reopened. Additionally, the port authority, chamber, and trade groups thrice sur- veyed regional warehouse operators to determine what types of storage were still available for importer and consign- ees unable to store cargo, and they created an online portal to help import- ers and consignees match up. Had leaders failed to act, port con- gestion could have delayed shipments of critical COVID-19 relief supplies and foodstuff. Ultimately, the port's response, which continues today even as the number of positive cases in the region recedes, reflects its resilience. With "the structure that we have, the relationships we have built — while there are fierce competitors in the Port of New York–New Jersey foot- print — everyone recognizes that we are all in this together. And whatever the impact, if it's affecting their busi- ness, it's affecting all the businesses and their supply chains on either side of them," Rooney said. "What we have learned is that the relationships and the structures for coordination, collab- oration, and communication that we have in place work." JOC email: mark.szakonyi@ihsmarkit.com twitter: @markszakonyi Eye of the storm The Journal of Commerce (USPS 279 – 060), ISSN 1530-7557, June 22, 2020, Volume 21, Issue No. 13. The Journal of Commerce is published bi-weekly except the last week in December (printed 25 times per year) by JOC Group Inc., 450 West 33rd St., 5th Floor, New York, N.Y. 10001. Subscription price: $595 a year. Periodicals postage paid at New York, N.Y., and additional mailing offices. © All rights reserved. No portion of this publication may be copied or reprinted without written permission from the publisher. POSTMASTER: Please send address changes to The Journal of Commerce, Subscription Services Department, 450 West 33rd St., 5th Floor, New York, N.Y. 10001. Letter from the Editor "Even though we compete on multiple levels, we actually function as a port community to ensure everyone is keeping their facilities up and running."

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