UAW prepares to strike at Detroit Three automakers, rejects new offers. On Wednesday, the United Auto Workers announced preparations to strike individual U.S. auto facilities in what would be their first simultaneous strike against the Detroit Three automakers if no deal is reached by late Thursday.
“To win, we’re likely going to have to take action,” UAW President Shawn Fain stated on Facebook Live. The union would escalate if discussions failed. “We will strike these companies like never before.”
The Detroit Three automakers had given 146,000 U.S. autoworkers 20% wage rises over four and a half years, but Fain argued they were insufficient. Automakers objected that the union had not replied to their newest, more generous proposals.
If no compromise is reached, Fain plans to “create confusion” with work stoppages at certain U.S. factories, although he did not specify which ones. “We’ll hit where we need to,” stated Fain.
Coordinated strikes would be the first simultaneous work stoppage at all three Detroit automakers and one of the biggest U.S. industrial labor actions in recent years.
“We’re making progress… but we’re still very far apart on our key priorities,” Fain said. The UAW will announce which factories it will strike Thursday at 11:59 p.m. Eastern.
Fain said Ford (F.N.), General Motors (GM.N), and Chrysler-parent Stellantis (STLAM.MI) had suggested 20%, 18%, and 17.5% salary increases. That is less than half the 40% pay raise the union wants, including an immediate 20% boost on contract ratification and 5% yearly raises, but greater than the firms’ first bids.
Ford complained that the UAW had “not received any genuine counteroffers from the union” and that “we should be working creatively to solve hard problems rather than planning strikes and P.R. events.” Ford submitted four counteroffers.
Stellantis is “still awaiting the UAW’s response to the offer we presented yesterday.” G.M.: “We continue to deal directly and in good faith with the UAW and have made solid proposals. Progress is being made in critical areas.”
Ford predicted a bad future. The future of our industry is at risk. Do all we can to avoid disaster.”
The union wants defined benefit pensions for all employees, 32-hour work weeks, cost-of-living increases, job stability, and an end to temporary workers.
Fain said automakers rejected pensions, 32-hour work weeks, and other perks. He also opposed profit-sharing initiatives that would reduce worker wages.
A UAW strike closes Detroit, Michigan-based Anderson Economic Group projected that three manufacturers for 1tendays could cost carmakers, suppliers, and employees over $5 billion and disrupt the auto supply network.
President Joe Biden urged the parties to negotiate “to get a win-win agreement that keeps UAW workers at the heart of our auto future,” White House economic advisor Jared Bernstein said Wednesday.
Last week, Biden phoned senior executives from all three automakers to “encourage them to provide more forward-leaning offers to stay at the table,” Bernstein said.
Reuters reported that AFL-CIO President Liz Shuler said autoworkers do not want to strike “but they will if they have to in order to reach a fair deal.”
Over 200 US strikes have occurred this year, Shuler said. Because the economy is shattered, she stated workers are tired.
The UAW plans a Friday event in Detroit featuring Fain, Senator Bernie Sanders, and other lawmakers to mark the first day of walkouts.
Targeting major sites may immediately stop U.S. output and stretch the UAW’s $825 million strike fund.
Comment Template