A coalition consisting of labor unions and civic groups in Georgia and Alabama is preparing to launch a pressure campaign against Hyundai’s electric vehicle plants and clean energy suppliers. The main objective is to encourage the Biden administration to fulfill its promise of creating “good union jobs” alongside job creation. By focusing on Hyundai and its transition to electric vehicles, the coalition hopes to influence other automakers, such as BMW and Mercedes-Benz, to consider union-friendly locations for their manufacturing bases.
This campaign may also apply pressure on domestic automakers that are currently in contract negotiations with the United Automobile Workers (UAW), who are keen on raising wages at electric vehicle suppliers. For President Biden, the Hyundai campaign holds political significance as it sets specific demands on one of the largest automakers in a crucial swing state, Georgia.
Yvonne T. Brooks, President of the Georgia State AFL-CIO, emphasized the need for livable wages and good jobs at Hyundai’s plants, stating that bringing jobs without providing proper compensation defeats the purpose. President Biden has highlighted the number of jobs created by his infrastructure package, semiconductor industry rekindling measure, and clean energy initiatives. However, despite positive economic indicators such as low unemployment and steady job creation, Biden’s overall approval ratings have suffered due to voters’ hesitation to credit him for the positive economic trends.
According to labor leaders, the volume of jobs created by the President may not be sufficient to win worker loyalty, particularly if those jobs are low-paid, unsafe, and unstable. Additionally, if these substandard jobs are supported by taxpayer dollars, it raises concerns among labor unions who believe that fair labor standards should be in place.
While the UAW has not officially endorsed President Biden due to concerns over wages and benefits at electric vehicle suppliers, Biden has shown support by appointing a senior adviser, Gene B. Sperling, as a liaison between the union and automakers. Union leaders are worried about the transition to electric vehicles and its impact on workers, calling on automakers to guarantee labor rights, avoid plant closures, and provide training programs for workers to transition into comparable-wage jobs.
A letter addressed to the CEO of Hyundai’s American subsidiary, signed by coalition members including the UAW, AFL-CIO, and International Brotherhood of Electrical Workers, outlines key labor demands. The letter calls for local hiring, worker training, improved safety standards, and environmental protections around Hyundai’s plants, which are expected to employ over 30,000 individuals in Georgia and Alabama.
The coalition seeks a binding agreement similar to the one reached with the electric bus manufacturer New Flyer last year. This agreement included commitments to hiring a diverse workforce and promoting women, minorities, and U.S. military veterans to specific positions. The coalition believes that Hyundai and its suppliers should come to the bargaining table and commit to worker and community-centric practices.
Hyundai USA has expressed its commitment to the safety and well-being of its employees, highlighting the company’s significant workforce. However, labor unions caution that community agreements may not hold the same weight as union contracts in protecting workers’ rights.
Democrats have included provisions in President Biden’s three landmark laws to promote labor organizing, raise wages, and prioritize union apprenticeships and training programs. The administration has successfully applied pressure to companies like Blue Bird in Georgia to support workers’ unionization efforts. However, union leaders acknowledge that they have limited influence over their members, especially when faced with the appeals made by former President Donald J. Trump.
Overall, the coalition’s campaign against Hyundai’s electric vehicle plants is a focused and forward-looking effort to address labor concerns and encourage the Biden administration to prioritize quality jobs in the clean energy sector.
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