2023-09-29 14:02:16
The United Auto Workers (UAW) will expand its strike to three Detroit plants and walk out at an additional General Motors, Ford and Stellantis assembly plant, three sources familiar with the situation said Friday.
The UAW is expected to continue ongoing work stoppages until a new contract is ratified, a source familiar with the situation said, speaking on condition of anonymity.
The union’s action follows
a climb
of the initial strike on September 22, during which workers walked out at General Motors and Stellantis distribution facilities in 20 states across the country.
The strike began on September 15, when workers walked out at a General Motors, Ford and Stellantis factory. The UAW did not strike at Ford distribution facilities,
citing progress
progress in negotiations with this company.
UAW President Shawn Fain was scheduled to speak via video Friday at 10 a.m. ET (1400 GMT). Counterproposal Negotiations between the UAW and Detroit Three negotiators were described as “very active” by a person briefed on the situation.
As of Friday, about 18,300 UAW members at the three Detroit plants were on strike, about 12 percent of the union’s 146,000 members working at the automakers. The strikers received $500 per week from the UAW strike fund.
The union had already closed an assembly plant at each of the three Detroit manufacturers and 38 parts distribution centers at GM and Stellantis.
The effect of these walkouts has been relatively small compared to the financial impact of shutting down the assembly lines that make Ford F-series, Chevrolet Silverados and Ram trucks.
Analysts estimate that GM, Ford and Stellantis earn as much as $15,000 per vehicle for each of their large pickup models.
The UAW has taken a new approach to walkouts to increase pressure on automakers. Rather than the hammer blow of a mass walkout, the UAW used the strikes as a ratchet, leaving company executives wondering what to do next.
The union launched its first walkouts on September 15, with simultaneous strikes at an assembly plant of each manufacturer.
On September 22, the union expanded its strikes to GM and Stellantis, but limited its walkout at Ford to a single plant due to progress in negotiations. It is unclear whether Ford will be targeted by the next round of actions.
The union and business remain far apart on key economic issues. Le Fain is sticking to his demand for a 40% wage increase over a four-year period, a position supported by President Joe Biden during a visit to Detroit on Tuesday. The companies responded with offers of around 20%.
The UAW is also pressuring automakers to eliminate the two-tier wage system, under which new hires can earn significantly less than veterans.
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