UAW Strike Costing GM, Ford At Least $100 Million Per Week: Goldman Sachs
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The ongoing UAW labor strike could end up costing GM and Ford between $100 million and $125 million per week in lost revenue, according to a recent analysis. UAW union members went on strike this past Friday following the expiration of the previous labor agreements. Walkouts are currently underway at only three production facilitates, with the UAW possibly expanding the strike to include additional facilities if a deal is not found.
According to a note released by Goldman Sachs, the lost revenue figure of $100 million to $125 million per week for GM and Ford is based on the weekly production averages of the facilities where the UAW is currently striking, as well as the models produced at those facilities. The UAW is currently striking at the GM Wentzville plant in Missouri, which produces the Chevy Colorado and GMC Canyon pickup trucks, plus the Chevy Express and GMC Savana full-size vans. Strikes are also underway at Ford’s Wayne Assembly plant in Michigan, which produces the Ford Bronco and Ford Ranger. UAW members are striking at the Stellantis Toledo Assembly Complex in Ohio as well, although the Goldman Sachs analysis did not include the potential financial impact on Stellantis in its note.
It’s estimated that the UAW strike includes roughly 12,700 union members across all three automakers. The strike is historic in that it is the first time in the union’s history wherein members have conducted walkouts at all three of the Big Detroit automakers simultaneously.
The strike is already resulting in downstream effects, with workers at the GM Fairfax plant informed that production will be affected. Meanwhile, UAW members continue to work at the GM Arlington plant in Texas, one of GM’s most-profitable facilities, but are ready to strike, if given the word. It’s expected that if the UAW does call in additional walkouts, it will likely target high-profit facilities.
Meanwhile, the Biden administration has sent a team to Detroit to assist both parties in negotiations.
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UAW is bound and determined to eliminate U.S. auto manufacturing. Don’t you clowns remember the 80’s ?
This is a new generation.
Who can forget the wonderful Roger Smith era. Let’s find a guy that will spend all the cash reserves within the company. Let’s take the profits from each division to create a new, uneeded division. Let’s buy companies that we can pull no profit from then sell them at a loss, Hughes and ADS. Lets buy robots from Japan that are way more trouble than their worth at a time when the Toyota’s and Datsun’s didn’t even use them. Let’s flush market share down the toilet like it won’t stop running.
In the meantime a woman is starting her career up the corporate ladder watching these management morons work their black magic. In Mary Barra’s entire management career she’s never been part of year over year market share increase, only decline. But hey, thank God we’ve got the UAW to blame for all of gm’s woes!
I doubt the company will ever get over Rogers stupidity and arrogance. I really thought Mary might be the cure, but I was wrong. Let’s hope they get a board with balls and start taking interest in the way the company is run. It appears that the UAW cares be more than GM’s board (bored?).
They don’t need balls to function properly, just conviction. Balls don’t do much on their own and having a set doesn’t make you awesome.
We have the UAW to blame for a lot of GM’s “woes”, including outsourcing of jobs. Not sure what Mary Barra’s sex has to do with the whole thing, but glad we could bring that up several times.
Not what I meant.
I kinda figured, just trying to be funny. I’ll try harder.
I do.
Build what you can and then shut down all of the plants.
This from a company that took 10 billion dollars in bailout money. Hell, even gm couldn’t believe there was a management team dumber than they were.
And paid it all back with interest. Why don’t you tell the whole story?
Probably because it doesn’t fit his narrative. Haters gotta hate.
Glad you called him out.
But are they really loosing that money??? Customers will still be there, and last i saw toyota doesnt make vans or a bronco/wrangler competitor. The big 3 really are just letting the UAW pay their employees vacation time right now.
The first rule of biology is that it is not in the best interest of the parasite for the host to die. Go ahead UAW. Kill the host. Put them out of business and your membership will be washing the cars they used to build or are built by your Asian and German competitors.
Dishwashers are always in high demand too.
Take it right out of these idiot UAW members profit sharing checks!!!!!
The idiot is the one who is jealous.