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.