Receive free Automobiles updates
We’ll send you a myFT Daily Digest email rounding up the latest Automobiles news every morning.
The CEO of the largest auto manufacturer in the US criticized the autoworkers union for rejecting the final offer from Detroit carmakers, leading to a strike.
At midnight, thousands of United Auto Workers members walked out of three plants after their contract expired. They were greeted with support from fellow union members and supporters. These plants, located in Michigan, Missouri, and Ohio, produce popular trucks and SUVs.
GM’s CEO, Mary Barra, expressed frustration and disappointment, stating that the strike was unnecessary considering the historic offer made by the company.
Barra also commented on the impact of leadership in negotiation, indirectly referencing Shawn Fain, the UAW president known for his aggressive stance against carmakers.
The UAW is seeking a 36% wage increase over four years, while the carmakers are offering a maximum of 20%. The union also wants to eliminate the two-tier wage system, which is opposed by carmakers.
The unprecedented “Stand Up Strike” could potentially expand to more factories and distribution centers, depending on the outcome of negotiations. This strike is reminiscent of the influential 1930s Sit Down Strike that helped shape the US labor movement.
The strike poses a political challenge for President Joe Biden, who has positioned himself as a pro-union president but now faces the balancing act of supporting workers while considering the economic impact on the industrial Midwest.
The White House announced that Biden would address the contract negotiations later in the day.
Congressional Democrats, including Elissa Slotkin from Michigan, voiced support for the UAW in their standoff with carmakers. Slotkin, who is running for a Senate seat, announced her intention to join the picket line.
Some Republicans, such as Ohio Senator JD Vance, also expressed solidarity with the striking workers, criticizing political leadership’s policies towards the auto industry.
Barra defended her pay on CNN, emphasizing its link to company performance. In response, the UAW highlighted the stark contrast in earnings between Barra and autoworkers in a full workday.
Denial of responsibility! Vigour Times is an automatic aggregator of Global media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, and all materials to their authors. For any complaint, please reach us at – [email protected]. We will take necessary action within 24 hours.
