Ford CEO Slams Union Leader Over Lack of Serious Bargaining in Contract Negotiations
Detroit, MI – Ford Motor CEO Jim Farley fired back at United Auto Workers (UAW) President Shawn Fain on Thursday, accusing him of not taking bargaining seriously ahead of the strike deadline set for Thursday night. Farley placed blame on Fain for failing to show up at the bargaining table and not providing a genuine counteroffer to Ford’s economic proposals.
In a statement to reporters at the Detroit Auto Show, Farley expressed frustration with the lack of progress in the negotiations, stating that the company has received “no genuine counteroffer” from the union on its four economic proposals. He also revealed that Fain was absent from a Tuesday meeting that he and Ford Chair Bill Ford expected him to attend.
“We’re here, we’re ready to negotiate, but it’s sure hard to negotiate a contract when there’s no one to negotiate with,” Farley said. “We have time left, but it’s hard to negotiate when you don’t get any feedback back.”
Farley’s comments came shortly after he expressed optimism on Tuesday that a deal could be reached with the union. However, the public criticism between the union and Ford, as well as the announcement of strike plans and simultaneous negotiations with other automakers, has escalated the tensions.
Farley questioned Fain’s commitment to the bargaining process, suggesting that Fain may be too busy planning strikes or PR events to provide feedback and make the best offer. He also didn’t directly address whether he believes the union is bargaining in good faith, a potential justification for a complaint with the National Labor Relations Board.
The UAW has demanded ambitious targets, including 40% hourly pay increases, a reduced 32-hour workweek, a return to traditional pensions, and the elimination of compensation tiers. Ford’s most recent proposal included some of the union’s demands, but not all of them.
If a deal is not reached by the Thursday night deadline, Fain has stated that the union will implement targeted strikes at certain plants against Ford and other Detroit automakers. Fain believes that strikes are likely necessary to win the union’s demands.
Ford, on the other hand, insists that it has made a generous offer and remains committed to reaching an agreement. In a letter released by the company countering Fain’s criticisms, Farley highlighted Ford’s increased wage proposals, cost-of-living adjustments, elimination of wage tiers, and enhancements to retirement savings and healthcare benefits.
The clock is ticking as the strike deadline approaches, and both the UAW and Ford must decide if they can come to a compromise that satisfies both parties’ demands and prevents a potentially disastrous outcome for the industry.