DETROIT (WWJ) - Unless United Auto Workers and Detroit's Big Three automakers come to an 11th hour agreement by 11:59 p.m. on Thursday, for the first time in history union workers will strike all three.
But the strike won't affect all auto plants at once, WWJ Auto Beat Reporter Jeff Gilbert explained.
UAW president Shawn Fain put 146,000 UAW members on alert for a targeted "standup strike" that would begin at midnight on Friday, with the UAW to announce which locals would walk out in a move to keep full pressure on Ford, Stellantis and General Motors and "keep the companies guessing."
“It's gonna rely on discipline, organization and creativity,” Fain told members Wednesday night in a Facebook Live webcast “I want to be clear, our goal is not to strike. Our goal is to reach a fair agreement. But if the companies continue to bargain in bad faith, or continue to stall, or continue to give us insulting offers, then our strike is going to continue to grow. At the beginning, a select few we're going to strike and then as needed more are going to join in.”
The UAW plans to announce which plants it will strike at 10 p.m. on Thursday. Workers at other locations would continue working under an expired contract, but Gilbert said Fain would call on other locals to go on strike based on what is "happening and bargaining."
“This is going to provide your national negotiators with incredible leverage at the bargaining table. If the companies give us an insulting offer, if they keep playing games, if they refuse to bargain in good faith, that we have the power to keep escalating and keep taking plants out,” Fain said.
For those who continue to work, they would do so under no contract extension.
"Fain says the UAW will keep all options open including expanding this to an all out strike against all plants and all three car makers," Gilbert explained.
The possible strike comes after tensions between the UAW and the Big Three reached a boiling point over what Fain said was the automakers' "reluctance" to approve significant pay increases and trash the two-tier wage system where it takes newer workers eight years to reach full pay.
The UAW proposed bumping up the system to 90 days, but Fain said “half the big three are now proposing a four year progression.”
While some headway was made in regards to wages, the union says the latest offers from the Detroit automakers isn't enough. The union is calling for a 40% raise over the life of the four-year contract, but Fain said Ford is proposing a 20% raise over four-and-a-half years, which is an increase overe their initial 9% offer.
GM an 18% raise over that period on the table, which is also up from their initial 10% and Stellantis has proposed 17.5%
Monty Wall, a bargaining representative with Local 600 at the Rouge, told WWJ's Jon Hewett the union is looking to get back concessions that were made in 2007 when the companies were looking for stability as the recession hit.
“The company has been profitable for many years since then and it’s now time to show the people who build these cars and trucks that we see what you’re doing out there on the floor and we want it to reflect in a fair contract,” he said.
GM, Stellantis and Ford all released statements on Wednesday, Sept. 13 regarding the negotiations, with all three clarifying they hope to reach a deal and avoid a strike.
The full statements from each of the Big Three are as follows:
Stellantis’ statements on UAW negotiations:
Colleagues:
As we approach the expiration of our contract with the UAW, I wanted to give you an update on where we are with negotiations.
Since Monday, we have continued to meet with the UAW subcommittees to resolve outstanding issues, proof that we can work together to find solutions on tough subjects. We also passed our second economic offer as promised as well as a third offer yesterday. We’re awaiting their response to this latest offer. At this time, we’re withholding details out of respect for the bargaining process.
On behalf of the entire Stellantis leadership team, I want to thank our Bargaining team for continuing to bring their energy and passion to these discussions. I know that they continue to approach each discussion with the seriousness it deserves and a commitment to reaching a fair agreement that responsibly addresses the concerns of our represented employees and better positions Stellantis to meet the challenges of the U.S. market.
Our focus remains on bargaining in good faith to have a tentative agreement on the table before tomorrow’s deadline. The future for our represented employees and their families deserves nothing less.
Tobin Williams, Senior Vice President, North America Human Resources
GM’s statements on UAW negotiations:
GM Manufacturing Team,
We want to let you know that we continue to bargain directly and in good faith and have presented additional strong offers to the UAW. We are making progress in key areas that we believe are most important to you. This includes historic guaranteed annual wage increases, investments in our U.S. manufacturing plants to provide opportunities for all and shortening the time for in-progression employees to reach maximum wages.
Our goal remains to reach an agreement before the expiration of the current contract.
We know that best-in-class manufacturing is our competitive advantage, and that's thanks to you. We are incredibly enthusiastic about our products, our technologies, and our customer engagement. Anything that disrupts what we can deliver to our customers is a setback for all of us. We came through the pandemic and other recent challenges with critical business momentum, and together we can keep it going. We can all win.
Remember, you can continue to stay informed by visiting GMNegotiations2023.com, and you can also contact the UAW leadership or your plant leader with any questions.
Thank you for all you do for GM and our customers. Be safe.
President Mark Reuss and Executive Vice President of Global Manufacturing and Sustainability Gerald Johnson
Ford’s statements on UAW negotiations:
The Ford team continues to put 100% of our energy into reaching an agreement with the UAW that rewards our valued employees and allows the company to invest in the future. If there is a strike, it’s not because Ford didn’t make a great offer. We have and that’s what we can control.
In fact, we have put four offers on the table starting Aug. 29 and each one has been increasingly generous. We still have not received any genuine counteroffer.
On Tuesday, Bill Ford and I sat down with the union at the main table for a major offer. As we were walking in the room, we learned President Fain would not be attending. Nevertheless, Bill and I laid out a historically generous offer to the UAW Ford bargaining team because we listened to the UAW demands and we care about our employees. Here are the facts. Ford:
The first we learned President Fain received the offer was on Facebook Live this evening. So again, we are here and ready to reach a deal. We should be working creatively to solve hard problems rather than planning strikes and PR events.
Please remember that Ford, more than any other company, has bet on the UAW and treated the UAW with respect. We have been incredibly supportive of the union. We have gone well beyond any contract language in adding jobs and investment.
The future of our industry is at stake. Let’s do everything we can to avert a disastrous outcome.
Jim Farley, president and CEO
Michigan's manufacturing leaders say a strike could destroy the industry's rebound from the pandemic, WWJ's Luke Sloan reported.
John Walsh, president and CEO of the Michigan Manufacturers Association, said auto suppliers struggled hard in 2020, had supply chain issues in 2021 and couldn't find workers in 2022.
Walsh says 2023 has been a year of great progress, but a strike could end that immediately with experts estimating a 10-day strike could result in an economic loss nationwide of $5.6 billion.
”The sense that we have our members large and small, it was a year of getting back to normal and productivity and having staff in place. If that gets turned over by a prolonged strike, it really could be detrimental particularly for our smaller manufacturers”.
Walsh is hoping an agreement can be made as the effects of a strike will have a dramatic and negative impact on suppliers and manufacturing in Michigan.
Listen and subscribe to The L.A. Local podcast: your TL;DR for what's happening in Southern California
Follow KNX News 97.1 FM
Twitter | Facebook | Instagram | TikTok