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The US automobile sector regrets the lack of agreement and faces harsh strikes

Date: May 19, 2024 Time: 13:59:17

The automobile sector slows down in the United States. After the strike called in several factories of General Motors (GM), Ford and Stellantis, the manufacturers declared that they are frustrated for not having reached an agreement and called on the unions to continue negotiating.

“We are frustrated and disappointed because the company had a very competitive offer on the table,” said GM CEO Mary Barra in an interview with CNN this Friday, the day on which the strike begins after the lack of agreement for the signing of a new collective agreement.

“Our team is ready to come to the table and we need the leadership of the United Auto Workers (UAW) back so we can solve these problems and get people back to work,” he said.

The president of the UAW union, Shawn Fein, announced at 11:00 p.m. local time on Thursday (02:00 GMT on Friday) that workers at GM’s Wentzville, Missouri, assembly plants; those from the Toledo plant, in Ohio, of Stellantis; and those at Ford’s Michigan plant would be the first to go on strike.

First strike of the big three at the same time

The three factories employ around 13,500 people. According to Fein, this is the first time in history that strikes have been declared at the same time at all three companies. US President Joe Biden, who frequently draws attention to the strength of employment in the country, especially manufacturing, will speak on the subject this Friday, the White House reported.

In the interview with CNN, Barra called the company’s offer of 20% gross salary increases and profit sharing “historic” and called on unions to come closer to a “realistic offer.”

Ford said in a statement that it “remains absolutely committed to reaching an agreement” that rewards employees and “protects Ford’s ability to invest in the future” as it moves forward in transforming the industry.

Ford, he noted, has submitted four proposals to the UAW since Aug. 29 and the latest was “historically generous, with large pay increases” and other benefits. But the union rejected it and stuck with a proposal that “if implemented” would “more than double Ford’s current labor costs.”

Also in a statement, Jodi Tinson, a spokeswoman for Stellantis, said the company is “extremely disappointed by the refusal of UAW leaders to participate responsibly to reach a fair agreement.”

“We are immediately placing the company in contingency mode and will take all appropriate structural decisions and measures to protect our North American operations,” he said.

Following last night’s announcement by union leader Shawn Fein, hundreds of union members stood at the entrance doors of the Wentzville, Toledo and Michigan plants to participate in the picket lines. The union and the three companies have been negotiating since July the signing of a new collective agreement for the next four years. But the UAW has said the companies are not negotiating in good faith.

The union demands a salary increase of 46% in four years, the establishment of new traditional pensions, the reduction of working hours and the unionization of workers in battery production factories.

* This website provides news content gathered from various internet sources. It is crucial to understand that we are not responsible for the accuracy, completeness, or reliability of the information presented Read More

Puck Henry
Puck Henry
Puck Henry is an editor for ePrimefeed covering all types of news.
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