The United Auto Workers (UAW) escalated their strikes on Friday morning, introducing “stand up” strike locations in a strategic move extending into the third week of the ongoing labor dispute. UAW President Shawn Fain announced the expansion via a Facebook Live video, revealing that the UAW strikes would impact major automotive giants Ford (F) and General Motors (GM). Specifically, the Ford Chicago Assembly Plant and the GM Lansing Delta Township Plant were designated as focal points. At 12 p.m. ET on Friday, approximately 7,000 UAW members at these plants initiated the strike action.
Stellantis (STLA) emerged as an exception, as progress was reportedly made in crucial negotiation areas concerning cost of living adjustment (COLA) and the union’s authority to call strikes at designated plants. Fain emphasized, “To restore the balance of power, we have to restore the strike. Not a single wheel will turn without us.”
The Ford Chicago Assembly Plant is instrumental in producing the Lincoln Aviator, Ford Explorer, and Police Interceptor SUV, while the GM Lansing Delta Township Plant assembles the Buick Enclave and Chevrolet Traverse. Fain added that the UAW would continue with part stamping operations at the GM plant.
In response to the UAW strike announcement, General Motors’ VP of Global Operations, Gerald Johnson, conveyed his perspective, stating, “Calling more strikes is just for the headlines, not real progress. The number of people negatively impacted by these strikes is growing and includes our customers who buy and love the products we build.” Ford CEO Jim Farley’s reaction was notably more forceful, criticizing the UAW for potentially jeopardizing thousands of families. Farley contended that the UAW was impeding progress over Ford’s proposed battery plant, citing operational challenges.
The Wall Street Journal reported earlier this week that Ford pursued a broader interpretation of the “foreign entity of concern” requirement for battery components, aiming to license CATL’s battery technology. Conversely, GM advocated for a stricter interpretation, seeking to gain an edge over their Detroit rival.
Friday’s stand up strikes exerted additional pressure on the “Big Three” automakers to maintain operations and avert substantial financial losses. Last week, the UAW extended their strikes to 38 GM and Stellantis parts and distribution facilities, with Ford being exempt due to reported progress in negotiations. Previous strikes impacted the GM Wentzville, MO plant, the Stellantis Toledo (OH) Assembly Plant, and the Ford Michigan Assembly Plant in Wayne County.
The UAW’s future course of action remains uncertain, underscoring the unresolved nature of the labor dispute. Nevertheless, the UAW aims to wield these strikes as a means to rebalance power dynamics between the automakers and the union.
Source: Yahoo Finance
