News Update


The UAW strike has spread to dozens of locations at GM and Stellantis.

As the dispute over pay and benefits continues, UAW President Shawn Fain said the fresh walkouts would target 38 General Motors and Stellantis locations.

The move excludes Ford, which the UAW claims is making progress in negotiations.

Last week, the UAW called a strike against the three automakers.

Mr Fain warned that expanding the strike could cause delays for customers in need of repairs and expressed optimism that it would put pressure on the companies to agree to new labor contracts.

“We’re focused on moving the companies at the bargaining table,” he stated in an online negotiation update.

“Right now, we think we can get there,” he said. “Stellantis and GM, in particular, are going to need some serious pushing.”

This month’s strike is the first in the union’s history to target all three automakers, dubbed “the Big Three,” at the same time.

The conflict threatens to boost car prices and cause significant disruption in an industry that contributes for around 3% of the US economy.

It began on September 15th, with approximately 12,700 personnel at three facilities.

According to Anderson Economic Group estimates, it has already generated more than $1.6 million in industry losses, including more than $500 million in damages for the three automakers and $100 million in lost salaries for workers.

According to the union, the latest strike will put around 5,600 more workers on strike across 20 states.

Patrick Anderson, CEO of the Anderson Economic Group, predicted that the development will have a substantial impact on both new car production and supplies for existing auto repairs.

“The UAW strategy here will have a much larger impact than you might expect based on the number of sites,” he added.

The escalation, according to General Motors, was “unnecessary.”

“We have now presented five separate economic proposals that are historic, addressing areas that our team members have said matter the most: wage increases and job security, while allowing GM to succeed and thrive into the future,” the firm said.

“We will continue to bargain in good faith with the union in order to reach an agreement as quickly as possible.”

Stellantis also justified its latest offer, claiming that at the end of the contract, all of its present full-time hourly employees would earn at least $80,000 per year.

The business also questioned “whether the union’s leadership has ever been interested in reaching a timely agreement.”

“They appear to be more concerned with pursuing their own political agendas than negotiating in the best interests of our employees and the long-term viability of our US operations in light of the market’s fierce competition,” the company stated.

Analysts are bracing for a protracted standoff, which some believe would help competitor automakers such as Tesla and Toyota, which do not have unionized workforces and hence face cheaper labor expenses.

The UAW, which represents more than 140,000 workers at the three companies, began contract negotiations this summer, seeking, among other things, a 40% increase in pay for its members over the four years of the contract, an end to a system that allows newer hires to be paid less, and automatic pay increases tied to inflation.

The automobile manufacturers have stated that the requirements are too onerous. Their most recent recommendations include a 20% wage increase.

President Joe Biden stepped out in favor of the employees’ case last week. He said he was dispatching senior advisers to settle the disagreement, which comes at a time of heightened labor tensions.

Mr Fain stated on Friday that Ford has agreed to several of the union’s requests, including the resumption of inflation-linked automatic wage hikes.

Mr Anderson described the union’s offer of a roughly 20% salary increase as a “remarkable” victory.

“The UAW has been very successful in identifying what they want, making the case in front of the public, and then systematically exerting the full measure of their capability in a strike,” Mr Anderson explained.

JT O’Malley, a car worker who has been on strike at a GM assembly facility in Wentzville, Missouri, since last week, said he was hopeful that the other two companies would follow suit.

“I feel like the pressure is increasing,” said the 38-year-old, who has been working at the company since 2015. “We’re fired up to make this happen.”


Your email address will not be published. Required fields are marked *