Negotiations between the United Auto Workers (UAW) labor union and the Big Three automakers, including General Motors, are ongoing ahead of the expiration of the current labor contracts next month. Reports indicate that little progress has been made thus far in reaching a new agreement. Now, UAW union members are set to vote on strike authorization next week.
“Whether or not there’s a strike next month is entirely up to the Big Three automakers,” said UAW president Shawn Fain in a statement, per a recent report from Reuters. Fain is set to address the ongoing contract negotiations, plus preparations for next week’s strike authorization vote, on Facebook Live later today. UAW members include 150,000 auto workers from General Motors, Ford, and Stellantis.
The current labor contracts are set to expire September 14th. Just yesterday, President Biden weighed in on the ongoing negotiations in a statement urging both sides to come to an agreement that supports the middle class, while also continuing the auto industry’s transition to “a clean energy future.”
“The UAW helped create the American middle class and as we move forward in this transition to new technologies, the UAW deserves a contract that sustains the middle class,” President Biden’s statement reads.
Recent reports cite an anonymous source indicating that the UAW’s contract demands may result in an extra $80 billion in annual labor costs. The UAW is reportedly seeking a 40-percent pay hike over the course of a four-year contract, including a 20-percent increase upon ratification. The labor union points to 40-percent pay raises for the CEOs at the Big Three automakers as justification for worker pay increases.
GM has criticized the proposal, stating it “would threaten our ability to do what’s right for the long-term benefit of the team. We think it’s important to protect U.S. manufacturing and jobs in an industry that is dominated by non-unionized competition.”
UAW workers staged a strike in 2019, which included the walkout of nearly 50,000 GM employees from roughly 50 plants across the U.S. The strike lasted six weeks, ending after GM conceded to union demands concerning health care costs and wage growth.
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Comments
Forge ahead carefully. Union leaders and the big 3 for years made deals for years that both knew that were long-term unsustainable.
Unstainable , lol, have you seen the profits that the big 3 made last year or last quarter . Look past the profits and dive into the heads of gm , ford and stellantis compensation packages . So let’s not use the long term unsustainable ideology . The businesses , both the auto sector and the union , are businesses that are run by the membership . So both businesses have to appease the employees/membership . Unfortunately this time the masses of workers have both the union and the company over a barrel .
GM reported $3.2 billion in EBIT in the 2nd quarter. It’s going to be a tough sell that they can’t afford to increase wages.
Not sure if you read the article … and I’m no math genius, but an additional $80 billion in labor costs and 40% pay increase over 4 years seems like a lot more than $3.2 billion in revenue this year. Unions are part of the problem of why automobile prices are SO HIGH! It’s time for the UAW to go bye-bye and let auto manufacturers pay reasonable wages and benefits for work being done. He!!, I’d LOVE to get a 40% pay raise over the next 4 years too … but that’s insane! It’s a vicious cycle that never ends … people can’t afford the costs for everything, so we’ll raise minimum wage. I can’t afford to pay my employees the new wage, so I have to raise my prices or let people go, and it repeats … Prices too high, have to raise wages, can’t afford to pay so I have to raise prices … on and on and on for eternity. Unions USED to be good for the public as they protected people back in the days when it was needed, but now days, there’s a LOT more regulation than when unions were needed … and it’s just time for them to go, so costs can come back down so people can actually afford things on realistic wages earned.
Tesla has it right — unions are garbage and meant to appeal to weak people with no spine. They’re full of rats, from the leadership, to the tradesman.
GM needs to purge the unions from their company and start fresh.
This is not news…this happens every year.
Be careful, don’t vote yourselves out of jobs.
Odd GM states it must cut costs to compete with nonunion rivals, as those companies give employees identical or near to identical wage and benefit increases to keep unions out. That’s why foreign autoworkers say they have no need for a union.
It isn’t just about wages and benefits, but the efficiency of non-union companies that don’t have to function via bureaucratic micromanagement of their process by unions.
My trade, for instance, is road construction, I’m fortunately in a position that doesn’t require me to be in a union, but most at our company are and there’s a plethora of “rules” these unions have with their contracts that limit who can do what work even if that practice results in excessive downtime before somebody is free to do what would normally be seen as simple work.
I also saw this in my previous job as a plastics machinery consultant. I had to do work on a extruder that was used by a defense contractor to make components for missiles. What should of been a 4-8 hour job turned into nearly a week because there were a limited amount of workers available and each had their own trade and in the process of tearing down these machines you’d have to undo wiring (electrician union), hoist components with a forklift (rigging and operators union). I’d wait 2-3 hours just for an electrician to finish another job they were on, all to come down and undo a nut to remove one wire, then I’d move forward until having to remove more wiring, waiting once again. It’s a joke and the worst part about that job was that it was all being paid for by taxpayers.
Hollywood writers on strike, actors on strike, auto workers potentially on strike; UPS threatened a strike and got it all sorted out at the last minute. Rail workers threatened a strike months ago and that was quickly dealt with. Fast food workers trying to unionize, etc. It’s getting a little crazy out there,
“Living wage” seems to be a common theme in all of the various unions grievances. Corporate profits are down so far in 2023, so it isn’t like corporations are making a ton of extra income they can just throw at people. While it is always nice to reward workers and pay them more, sometimes it just isn’t in the budget. I’ve seen a lot in my decades in the Corporate world and have learned to appreciate and be grateful for what I get.
UPS part timers lost bigtime. UPS and the crooked teamsters created the part time positions within the rank and file and its the part timers that make up the majority of the work force. Crazy hours, terrible working conditions, and constant harassment is the daily part timers job at UPS. All you hear is the great contract making 170k. Its complete BS. Pretty soon you are going to see more and more jobs going part time requiring Americans to work two or three jobs. Both political partys are to blame. The UAW will follow in the Teamsters footsteps and act like they will put up a big fight and cave at the end than claim victory
The UAW should be careful or they will run the only two American owned vehicle manufacturers out of business and their union members will have no place to go except to the non-union foreign vehicle manufacturers at non-union wages and benefits. The Feds need to put an excise tax on all foreign vehicle manufacturers made in the U.S. and off shore to balance out the unfair non-union wages and subsidies by foreign governments. My two cents…
That’s absurd. Consumers come before all else, including union-workers. I’m not paying taxes to then have more taxes levied on the things I buy just because I want more for less. People like you don’t deserve to call yourselves an American while you excuse such egregious regimentation.
Let’s hear it for Mary Buick Envision Made in China-Barra and the $29 million in compensation she received in 2022.
There seems to be a vary narrow minded thought process out there. People forget, or don’t know that when the Big Three we’re in bankruptcy, the employees gave what they gained in the previous decade , or more, in concessions so that the companies could continue with their business. Plus the companies used to pay with their own money to do what they wanted. Now they hold jobs hostage dangling carrots saying, if you want this we want, not need, money from government. That’s Tax Payer’s money. Then they make Billions of dollars PROFIT and say we can’t do that? Wake up and smell the coffee people. They pay their CEO’s in the area of 20 to 29 million per year, and you still think that’s OK? GM they say lost 22 million dollars a day due to the strike of 2023, so I guess that’s only a one day loss to pay that Ceo. Are people serious thinking that’s OK? Give your heads a real shake. When was the last time you made, or will ever make that kind of money?