2023-09-19 16:18:33
The United Auto Workers (UAW) union will announce Friday which other U.S. factories will go on strike unless serious progress is made in negotiations with the three Detroit automakers.
Last week, the UAW launched a partial strike at Ford, General Motors and Stellantis, Chrysler’s parent company, targeting a U.S. assembly plant at each company. Mid-size pick-ups are produced there, generating comfortable sales without being gooses that lay golden eggs for the historic manufacturers of the big Michigan city. This is the first time in the history of the UAW that it has organized a simultaneous strike among the “Big Three”, the traditional “Big Three”. Some 12,700 workers are on strike in the three American factories, out of the 146,000 UAW members working for these groups, a deliberately reduced number, which allows the strikers to rotate and promises long-term disruption.
The three automakers have proposed increases of 20% over the 4 1/2 years of the duration of their agreements, the UAW is asking for 40% through 2027, matching the increase granted to the groups’ executives over the past four years. The union also calls for better social protection. Since last week, discussions have made little progress, despite Joe Biden’s call to share profits in a “fair” way. “We’re not going to wait forever for them to drag this out,” UAW President Shawn Fain said in a video message released late Monday, setting the new deadline.
A risk of paralysis of American production
Unlike Stellantis and General Motors, Ford has traditionally had good relations with its unions. The manufacturer has not experienced a strike in the United States since 1978, and in Canada since 1990. Ford managed to circumvent the walkout by signing a contract with the Canadian union Unifor, which represents approximately 5,600 workers in three factories in Canada , it was extended for 24 hours before expiring Monday evening after receiving a “substantial offer” from Ford. But “Unifor members must continue to be prepared to strike,” according to Shawn Fain. Ford said in a statement that it had agreed to continue negotiations beyond the contract deadline in hopes of reaching an agreement in principle.
VIDEO. United States: auto workers put pressure on “big three” bosses
The company has two factories in Canada that make V-8 engines for the U.S.-assembled F-series and Super Duty pickup trucks. It also has an assembly plant in Ontario. Any walkout by Canadian workers that shuts down these engine plants could cripple U.S. production of Ford’s most profitable vehicles. “Our footprint on Ford’s North American operations is small but impactful. This is our leverage and we will use it,” said Lana Payne, Unifor national president, in a video message released earlier Monday.
Unifor has called for improved wages and pensions, as well as support for the transition to electric vehicles and additional investment commitments from Ford. Once the agreement with Ford is reached, Unifor will work to secure agreements with GM and Stellantis, the deadlines for which were pushed back during negotiations with Ford.
Talks between the UAW and Detroit automakers continued Monday, as the U.S. strike extended into a fourth day with no discernible sign of progress toward an agreement. The union and businesses are at loggerheads over workers’ wages and benefits. At one point in the negotiations, the UAW offered to reduce its demand to 36 percent.
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