{"id":38520,"date":"2023-09-15T04:11:11","date_gmt":"2023-09-15T04:11:11","guid":{"rendered":"https:\/\/entertainment.runfyers.com\/index.php\/2023\/09\/15\/autoworkers-strike-begins-at-ford-gm-stellantis-plants-techcrunch\/"},"modified":"2023-09-15T04:11:11","modified_gmt":"2023-09-15T04:11:11","slug":"autoworkers-strike-begins-at-ford-gm-stellantis-plants-techcrunch","status":"publish","type":"post","link":"https:\/\/entertainment.runfyers.com\/index.php\/2023\/09\/15\/autoworkers-strike-begins-at-ford-gm-stellantis-plants-techcrunch\/","title":{"rendered":"Autoworkers strike begins at Ford, GM, Stellantis plants | TechCrunch"},"content":{"rendered":"


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The United Autoworkers Union (UAW) will go through with threats to strike<\/a> against the Big Three automakers \u2014 Ford, General Motors and Stellantis \u2014 after both sides failed to reach a deal. This is the first time in history that all three automakers have been hit by strikes at once.<\/p>\n

The automakers and the UAW had until 11:59 p.m. Thursday evening to come to an agreement. Now, the UAW will call on its 150,000 union members to strike at plants across the country.<\/p>\n

\u201cWe will not strike all facilities at once. We<\/span> will<\/span> strike<\/span> all<\/span> three<\/span> companies,<\/span> a<\/span> historic<\/span> first,<\/span> initially<\/span> at<\/span> a<\/span> limited<\/span> number<\/span> of<\/span> targeted<\/span> locations<\/span> that<\/span> we<\/span> will<\/span> be<\/span> announcing,\u201d said UAW President Shawn Fain during a Facebook Live event Thursday evening.<\/span><\/p>\n

Union members were prepared with picket lines and signs once the clock struck midnight. The first three plants that are being hit are GM\u2019s truck and van plant in Wentzville Missouri; Ford\u2019s Ranger pickup and Bronco SUV in Wayne, Michigan; and Stellantis\u2019s Jeep Wrangler and Gladiator plant in Toledo, Ohio. In total, that\u2019s 12,700 workers \u2014 3,600 at GM, 3,300 at Ford and 5,800 at Stellantis \u2014 who will go out on strike at those plants.<\/p>\n

Fain called this tactic a \u201cstand up strike,\u201d where the goal is to \u201ckeep the companies guessing,\u201d relying on \u201cdiscipline, organization and creativity.\u201d<\/p>\n

\u201cA stand up strike begins with all our locals from parts distribution centers to assembly plants, maintaining a constant strike readiness,\u201d said Fain. \u201c\u2026based on what\u2019s happening in bargaining, we\u2019re going to announce more locals that are going to be called to stand up and strike. These locals will join those that are already on strike, so that our strike at each company will continue to grow over time.\u201d<\/span><\/p>\n

While Fain said a full-on national strike is not yet off the table, he urged workers not to strike until they had been given the order by their local union leaders. Fain stressed that union members would be working under an expired agreement, not an extended agreement.<\/p>\n

\u201cThe stand up strike is our generation\u2019s answer to the sit down strikes of the 1930s,\u201d said Fain. \u201cIt is long past time to stand up for the working class, to stand up for our communities, and to stand up against unchecked corporate greed.\u201d<\/p>\n

The strike is expected to cause economic disruption for weeks. According to\u00a0Anderson Economic Group<\/a>, a work stoppage of 10 days could result in an economic loss of more than $5 billion. It could also lead to higher car prices going forward.<\/p>\n

Ford said it had submitted four proposals to the UAW since August 29, calling its last offer \u201chistorically generous\u201d with a 20% wage increase<\/a>, cost of living adjustments, more paid time off and additional retirement contributions.<\/p>\n

\u201cUnfortunately, the UAW\u2019s counterproposal tonight showed little movement from the union\u2019s initial demands submitted Aug. 3. If implemented, the proposal would more than double Ford\u2019s current UAW-related labor costs, which are already significantly higher than the labor costs of Tesla, Toyota and other foreign-owned automakers in the United States that utilize non-union-represented labor,\u201d reads a statement from Ford.<\/p>\n

As traditional automakers make the switch to electric vehicles, they are struggling to avoid incurring losses. At the same time, they have to compete with the likes of Tesla, which has a non-unionized workforce.<\/p>\n

\u201cFord has bargained in good faith in an effort to avoid a strike, which could have wide-ranging consequences for our business and the economy. It also impacts the very 57,000 UAW-Ford workers we are trying to reward with this contract,\u201d continues Ford\u2019s statement. \u201cOur hourly employees would take home nearly 60% less on average with UAW strike pay than they would from working. And without vehicles in production, the profit-sharing checks that UAW workers could expect to receive early next year will also be decimated by a significant strike.\u201d<\/p>\n

GM said it was disappointed in the UAW\u2019s actions but will continue to bargain in good faith to reach an agreement as quickly as possible.<\/p>\n

Stellantis said it \u201cimmediately put the Company in contingency mode and will take all the appropriate structural decisions to protect our North American operations and the Company.\u201d The automaker did not elaborate on what \u201ccontingency mode\u201d entails.<\/p>\n

What UAW wants vs what automakers offered<\/h2>\n
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UAW members and supporters are rallying outside of the Ford Michigan Assembly Plant ready to walk the picket line with workers.\u00a0Image Credit:\u00a0<\/strong>UAW<\/p>\n<\/div>\n

Wage tiers<\/h3>\n

The UAW wants to eliminate wage tiers, which pay different rates per hour. They asked for a 90-day progression to top rate, restoring pensions and retiree healthcare.<\/p>\n

Ford, GM and Stellantis proposed a four-year progression and rejected the union\u2019s pension and retiree healthcare proposals. GM proposed to continue what UAW said is substandard pay for CCA (Customer Care and Aftersales) and GMCH (GM Components Holding) workers. The union said the same for Stellantis for Mopar, which is\u00a0the parts, service, and customer care division of the former Chrysler Corporation.<\/p>\n

Wages<\/h3>\n

The union demanded significant double-digit pay raises \u201cto match salary increases of Big 3 CEOs, catch up with inflation and make up for decades of failing wages.\u201d Workers are also demanding a shortened 32-hour workweek, while keeping pay at a 40-hour level.<\/p>\n

Both Ford and GM offered a 20% increase over four and a half years, and Stellantis offered a 17.5% increase over the same time period. The UAW said these offers barely make up for minimal past raises combined with high inflation, and they don\u2019t safeguard against future inflation.<\/p>\n

Cost of living adjustment (COLA)<\/h3>\n

UAW demanded a COLA that would allow wages to keep up with inflation and help workers improve their quality of life. The union called all three proposals deficient. Ford\u2019s would restore an old COLA formula, but would provide estimated wage protection of less than $1 over the next four and a half years. The proposals from GM and Stellantis, UAW said, would provide no wage protection. Stellantis also offered lump sum payments, but UAW said most employees wouldn\u2019t receive those.<\/p>\n

Profit sharing<\/h3>\n

The autoworkers\u2019 union demanded that companies give workers $2 for every $1 million spent on share buybacks, special dividends and increases to normal dividends.<\/p>\n

\u201cAgain, if they\u2019ve got money for Wall Street, they sure as hell have money for the workers making the product,\u201d said Fain.<\/p>\n

The Big Three all offered some version of concessionary profit-sharing formula that UAW says would leave more for company executives and rich stakeholders and less for workers. Ford\u2019s proposal would have resulted in 21% smaller checks over the last two years, and GM\u2019s would have resulted in a 29% smaller check than last year, according to the union.<\/p>\n

Temp workers<\/strong><\/h3>\n

\u201cAs far as temps go, we\u2019ve proposed ending the abuse of so-called temps who were exploited at low wages for years at a time and denied the full benefits and wages despite working endless hours to keep these companies going,\u201d said Fain. \u201cTemporary workers should be converted to full time after 90 days with full pay benefits and profit sharing.\u201d<\/p>\n

Ford came to the table with a proposal to convert all current temps with 90 days of continuous service to full time in-progression. GM and Stellantis proposed an increase of wage to $20 per hour.<\/p>\n

Job security, work-life balance and retirees<\/h3>\n

The union asked for job security with Working Family Protection Program and the right to strike over plant closures in other areas. All three automakers rejected those proposals, according to UAW. Stellantis went a step further and proposed the unilateral right to close and sell 18 facilities, including various assembly and powertrain plants and parts depots.<\/p>\n

When it comes to work-life balance, the workers want more paid time off and holidays. The UAW said all three automakers rejected most of its demands. However, they did accept adding Juneteenth as a paid holiday. Ford also proposed two weeks of parental leave.<\/p>\n

The union demanded a \u201csignificant increase\u201d to retiree pay, which was rejected by all three automakers.<\/p>\n

\u2018Strike these companies in a way they\u2019ve never seen before\u2019<\/h2>\n

On Thursday night, Fain said the UAW was \u201cpreparing to strike these companies in a way they\u2019ve never seen before.<\/p>\n

He called the negotiations a \u201cbattle of the billionaire class against everybody else.\u201d<\/p>\n

Senator Bernie Sanders has come out in support of the labor movement, speaking on MSNBC Thursday about the emotional wake up call of the COVID-19 pandemic. He pointed out that white collar workers were able to stay at home and work behind their computers, while many working class people had to go out to work and risk their lives. At the same time, the pandemic saw an explosion of wealth increases for the people at the top, said Sanders.<\/p>\n

\u201cNo one thinks that three people on top should own more wealth than the bottom half of American society, that CEOs are making 400 times more than their workers,\u201dsaid Sanders. \u201cThat\u2019s not what this country is supposed to be about. That\u2019s what the UAW is telling the American people and I think this massive support for what they\u2019re trying to do.\u201d<\/p>\n

This story is developing. Check back in for updates.\u00a0<\/em><\/p>\n<\/p><\/div>\n