The United Auto Workers (UAW) has announced that GM’s Ultium Cells battery plants will be included in the national UAW labor agreement, marking a significant victory for the union in contract negotiations with General Motors. The battery facilities are operated by Ultium Cells LLC, a joint venture between GM and LG Energy Solution. The concession is expected to provide Ultium workers with higher wages and other benefits.
UAW President Shawn Fain announced that workers at GM’s Ultium Cells battery plants will be included in the national UAW labor agreement in a livestream speech made via social media Friday afternoon.
“Moments before this broadcast, we have had a major breakthrough that’s not only dramatically changed negotiations, but it’s going to change the future of our union and the future of our industry,” Fain said at the outset of the livestream speech.
According to Fain, the UAW was poised to call for a walkout at the GM Arlington plant in Texas, considered the most profitable auto plant in the world. The GM Arlington facility produces full-size SUVs such as the Chevy Tahoe, Chevy Suburban, GMC Yukon, and Cadillac Escalade, some of GM’s biggest moneymakers.
“Just that threat [to strike at Arlington] has provided a transformative win,” Fain said. “GM has now agreed in writing to place their electric battery manufacturing under our national master agreement.”
The decision to include Ultium Cells workers under the national UAW agreement has been a topic of contention for months. Back in August, Ultium Cells LLC stated that the joint venture did not “see a viable legal or practical path to place Ultium Cells Ohio into the General Motors National Agreement.”
The company’s statement followed urging from 28 U.S. senators, including Senate Majority Leader Chuck Schumer, for GM to recognize Ultium workers under the national labor agreement prior to the expiration of the previous contract. Lawmakers criticized Ultium Cells LLC for paying low wages at the Ohio facility, noting that workers at the Ultium facility earned half as much as workers at the former GM Lordstown assembly plant.
The UAW is currently striking at all three of the Big Detroit automakers (GM, Ford, and Stellantis). UAW announced its initial strikes last month, and has opted to expand the strikes twice in the time since, adopting a targeted strike strategy, rather than calling for all UAW members to walk off the job at once.
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Comments
This will almost certainly guarantee that EV’s will continue to be out of most consumers’ budgets. The potential cost savings from not purchasing gasoline will be eaten up by the UAW’s demands to have their fingers in every cookie jar that GM, Ford, and Stellantis have. Prices on EV’s are already stupidly high…and that will not change if this demand makes it on the next contract.
Agreed, the only way GM Ford and Stellantis could possibly stay profitable is the keep the unions out of new manufacturing plants and processes.
The days of unions looking out for workers has long since passed, they now merely line Union officials pockets and destroy the companies their employees work for.
Everyone who has ever received a 40% wage increase, a 20% reduction in work hours and extra paid days off please raise your hands.
RIP GM.
Hmmm could GM out source or go to a new tech as this is changing so much and fast.
It would be funny if they so,d these plants after the deal.
Any new Ultium plants will be built in Mexico im sure of it.
Gm is officially dead on arrival.
I don’t think battery plants employ many people so It won’t be too costly to GM. It’s not like vehicle assembly.
GM and the UAW walking hand in hand off the cliff. Detroit will not be competitive in the EV market place.
It was already going to be tough for GM to be competitive with Elon on EVs. This will not help at all.