The UAW's announcement Thursday night comes after months of failed negotiations between the United Auto Workers and Detroit’s Big 3 automakers.
“If there is ever a time to stand up and fight, it’s now,” said Keith Crowell, president of UAW Local 276, which represents the Arlington workers.A prolonged strike that eventually leads to work stoppages at other plants could send shock waves through the automotive supply chain and raise car prices in a U.S. economy already under strain. Anderson Economic Group estimated that a 10-day strike would cost $5.6 billion in lost output and push swing-state Michigan into recession.
Fain said the automakers have rejected some of the union’s other demands, such as restoring concessions that the workers made years ago when the companies were in financial trouble.“We do not yet have offers on the table that reflect the sacrifices and contributions our members have made to these companies,” he said. “To win we’re likely going to have to take action. We are preparing to strike these companies in a way they’ve never seen before.
In a video released Thursday night, GM manufacturing chief Gerald Johnson said the union initially presented over 1,000 demands that would have cost more than $100 billion. “That’s unreasonable,” Johnson said. “It’s more than twice the value of all of General Motors and absolutely impossible to absorb and still compete in today’s automotive market.
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Ford, uniquely exposed to a strike, makes a last ditch effort.CEO Jim Farley and executive chairman Bill Ford both showed up to the negotiating table with UAW earlier this week in an effort to avert a strike, the company said in a statement. (UAW President Shawn Fain was a no-show, Ford says.) Ford wants to be seen as pulling out all the stops. But it’s also true that Ford employs the most UAW members of all the “Big Three” automakers, leaving the company uniquely exposed to the economic fallout from a strike. The deadline to reach a deal is tonight at 11:59PM. Tick tick tick.
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