DETROIT — The United Auto Workers (UAW) is expanding strikes to 38 parts and distribution locations across 20 states, targeting General Motors and Stellantis, according to UAW President Shawn Fain.
The union will not initiate additional strikes at Ford Motor, as the company has proven its commitment to reaching a deal, Fain stated in a Facebook Live comment.
Fain emphasized that although the union and Ford still have important issues to resolve, Ford’s seriousness in negotiations stands in contrast to the actions of GM and Stellantis.
In his statement, Fain highlighted the progress made with Ford, including the elimination of wage tiers, the reinstatement of cost-of-living adjustments, and an improved profit-sharing formula.
Furthermore, Fain mentioned that the union achieved the right to strike over plant closures and secured the immediate conversion of temporary workers upon ratification of the new agreement.
While Ford expressed its commitment to reaching a deal, it acknowledged the significant economic gaps that still need to be addressed.
(L-R) Supporter Ryan Sullivan, and United Auto Workers members Chris Sanders-Stone, Casey Miner, Kennedy R. Barbee Sr., and Stephen Brown picket outside the Jeep Plant on September 18, 2023, in Toledo, Ohio.
Sarah Rice | Getty Images
“In the end, the issues are interconnected and must work within an overall agreement that supports our mutual success,” Ford stated on Friday.
The strikes at GM and Stellantis parts suppliers will add approximately 5,600 autoworkers, including about 3,500 GM employees, to the ongoing UAW strikes at the Detroit automakers.
GM responded to the strikes by saying, “We have now presented five separate economic proposals that are historic, addressing areas that our team members have said matter most: wage increases and job security while allowing GM to succeed and thrive into the future.”
Stellantis questioned the union’s leadership, stating it doubts their interest in reaching a timely agreement.
Approximately 12,700 UAW workers initially went on strike one week ago at various locations, including GM’s midsize truck and full-size van plant in Wentzville, Missouri; Ford’s Ranger midsize pickup and Bronco SUV plant in Wayne, Michigan; and Stellantis’ Jeep Wrangler and Gladiator plant in Toledo, Ohio.
The union’s focus on parts and distribution centers is a unique strategy that primarily affects the distribution of parts to dealerships rather than vehicle production and assembly.
If the new work stoppages continue, dealers may face significant disruption and delays in customer repairs, exacerbating existing issues caused by supply chain problems.
Fain urged the companies to invest their record profits into stable jobs, wages, and benefits to improve the frustrating customer experience.
Many anticipated that the union would expand work stoppages to include full-size truck plants, which are critical to the profitability of the Detroit automakers.
GM’s 18 affected plants are located in 13 states: Michigan, Ohio, Colorado, Wisconsin, Illinois, Nevada, California, Texas, West Virginia, Mississippi, North Carolina, Tennessee, and Pennsylvania.
Stellantis’ extended strikes impact 20 facilities in 14 states: Michigan, Ohio, Wisconsin, Minnesota, Colorado, Illinois, California, Oregon, Georgia, Virginia, Florida, Texas, New York, and Massachusetts.
Seeking to “take the fight nationwide,” Fain expressed the union’s determination to expand the strikes as needed.
The targeted strikes began after the UAW and the automakers failed to reach tentative agreements before the expiration of the previous contracts.
Despite the automakers’ record contract offers, which include significant wage increases, bonuses, and favorable health care benefits, the additional plant strikes were initiated by the UAW, demanding further improvements such as pay increases, shorter workweeks, traditional pensions, and compensation adjustments.
While Stellantis claimed to have made a competitive offer, Ford and GM expressed their commitment to reaching agreements and addressing the remaining economic issues.
United Auto Workers members and supporters rally at the Stellantis North America headquarters on September 20, 2023, in Auburn Hills, Michigan.
Bill Pugliano | Getty Images News | Getty Images
The expansion of the strikes followed leaked messages involving UAW communications director Jonah Furman, which raised questions about the union’s motivations for the work stoppages.
In private group messages, Furman discussed the strategy behind the targeted strikes, suggesting that they cause reputational damage and operational chaos for the automakers.
While Furman did not comment on the messages, Fain addressed the union’s unique approach to negotiations and their commitment to achieving favorable contracts.
— CNBC’s Gabriel Cortes and John Rosevear contributed to this report.
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