United Auto Workers Union Threatens To Strike This Week

Posted September 11, 2023

The United Auto Workers union, which represents about 146,000 U.S. auto workers, could go on strike if wage increases and worker demands are not met.

Shawn Fain, president of the United Auto Workers union, said he has threatened to strike on General Motors, Ford and Stellantis if an agreement is not made by 11:59 p.m. Eastern time Thursday, marking the expiration of the union’s contract with the companies, the Associated Press reports.

The union has asked for 46 percent raises in general pay from $32 an hour now to about $47 over the next four years. Also, the union demanded it be allowed to represent workers at 10 electric vehicle battery factories following the agreement, arguing the industry is shifting to more eclectic vehicle manufacturing and its workers should not be left behind.

Stellantis offered U.S. hourly workers a 14.5 percent wage hike over four years; General Motors offered workers a 10 percent wage hike and two additional 3 percent annual lump-sum payments over four years; Ford hiked its offer to a 10 percent wage hike and lump sum payments after offering a 9 percent wage increase through 2027 and 6 percent lump sum payments.

A strike on the automotive industry could lead to eventual price hikes in addition to a possible supply shortage. A 40-day-long UAW strike held against General Motors cost the company $3.6 billion in 2019.