The United Auto Workers union has taken another step in their series of strikes against major Detroit automakers, this time impacting the factory responsible for producing Ram pickup trucks for Stellantis in Sterling Heights, Michigan. Approximately 6,800 union members initiated the strike on Monday morning, effectively shutting down a significant profit center for the company.
The decision to expand the strike came just days after union President Shawn Fain had reported progress in negotiations with General Motors and Stellantis but emphasised the need for better offers from the companies. Ford, however, had not shown any progress in their discussions, claiming to have the best offer.
The strike initially began on September 15, with one assembly plant from each of the big three automakers being affected. Now, approximately 41,000 workers are part of the ongoing strikes against all three automakers, which have continued for six weeks. These strikes now encompass seven assembly plants and 38 parts warehouses, involving around 28% of the union’s workforce at the three companies.
While General Motors and Ford have avoided the latest escalation due to increased offers, Stellantis found itself on the receiving end of the strike action. The union has criticized Stellantis’s offers for lagging behind those from Ford and General Motors, despite Stellantis boasting the highest revenue and profits among the three companies.
The union expressed concerns about Stellantis’s offers in terms of cost-of-living raises, the speed at which workers move up the pay scale, temporary worker pay, converting temporary workers to full-time status, and other key issues.
In response, Stellantis issued a statement expressing outrage that the Sterling Heights plant was added to the strike list. The company mentioned that they had recently improved their offer, which included a 23% wage increase over four years, nearly a 50% increase in retirement savings contributions, and enhanced job security provisions. Stellantis also noted that their offer would address member demands and provide immediate financial benefits for employees.
With each plant that joins the strike, the union risks sacrificing domestic market share to non-union competition, which could affect the company’s ability to invest and compete, Stellantis warned.
The union is expected to make counter-offers to Stellantis and GM in the near future. The latest addition to the strike appears to be a signal to Ford and GM to improve their offers.
DeSean McKinley, an employee at the Sterling Heights plant, expressed support for the union’s action, saying, “Now, we’re here, fighting for solidarity – fighting for what’s right for us,” AP reported.
The ongoing strikes have brought uncertainty to the auto industry and could lead to further labor disputes if agreements aren’t reached in the near future.
