Auto Industry Strikes: The UAW and US car companies clashed, causing auto industry strikes. This event is essential in work history as it simultaneously involves all three of Detroit’s significant companies.
Shawn Fain, UAW leader, is thriving. He initiated strikes to stop car production nationwide. The strikes started at midnight, hitting important locations like a GM plant in Wentzville, Missouri, a Stellantis plant in Toledo, Ohio, and a Ford assembly plant in Wayne, Michigan.
Around 12,700 workers are striking, affecting the production of profitable vehicles like Ford Bronco, Jeep Wrangler, and Chevrolet Colorado pickup truck for Detroit Three.
Fain said it’s a critical moment with the potential to exceed goals if needed. Striking workers get $500/week from UAW’s $825 million fund for three months. By spacing strikes, the union reduces the impact on business and increases efficiency.
Stellantis has a large car inventory, but a Toledo Jeep plant shutdown could lead to a $380 million sales loss. Analysts predict this change may stop the production of 24k cars/week.
The UAW wants a 40% pay raise, no tiered wages, and restoration of previous concessions like medical benefits for seniors, increased time off, and rights for workers affected by plant closures.
Workers argue that their demands are reasonable due to the significant increase in car industry profits, which have risen by $250 billion from 2013 to 2022, a 92% increase. They mention bosses’ pay. Hourly wages dropped 19.3% since 2008, accounting for inflation.
The Biden administration may help small supply companies affected. Ford warns UAW’s ideas may raise labor costs, involving profit-sharing. GM and Stellantis were quiet before the strike.
The US labor movement supports and highlights these events. Teamsters drivers won’t cross picket lines, causing delays. Labor unions and social justice groups back UAW’s contract fight.
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Our Reader’s Queries
What is going on with the auto strike 2023?
General Motors and the UAW reached an agreement on October 30, resulting in the end of the strike and the return of all striking workers to their jobs. The new contracts also abolished the two-tier wage system, which classified some employees as “temporary workers” and paid them less. This move is a significant step towards fair and equal pay for all workers.
Is the auto industry still on strike?
As of 10/30/2023, it seems that Detroit’s top three automakers have come to terms with the United Auto Workers (UAW) union, potentially putting an end to the ongoing strike. Ford and Stellantis (the parent company of Chrysler, Dodge, Jeep, Ram, and other brands) have both acknowledged that they have reached tentative agreements with the union.
Why did the auto workers go on strike?
The shift towards electric vehicles and away from internal combustion engines has been a contentious issue, with the union alleging that the Big Three automakers plan to relocate jobs from unionized manufacturing plants to lower-wage facilities that produce batteries. This has been a major point of disagreement between the two sides.
What cars are affected by the UAW strike?
The Ford Super Duty line of pickups (F-250 to F-550), Ford Expedition, and Lincoln Navigator are all built by workers at the plant. Unfortunately, the strike has also impacted the Ford assembly and paint plant in Wayne, Michigan, which is responsible for producing the Ranger and Bronco.